Ukraine has begun extracting shale gas

The chief executive officer of Ukrainian state energy company Naftogaz, Andriy Kobolyev, stated in his interview with Bloomberg that the Ukrgasdobycha, a subsidiary of Ukraine’s Naftogaz, began extracting shale gas using hydraulic fracturing (fracking) in October 2016.

According to him, the drilling of the first well was performed in cooperation with European partners. Kobolyev didn’t specify the names of these companies or the location where the well will be drilled.

The chief executive officer of Naftogaz explained that extracting shale gas will help Ukraine reduce dependence on Russian fuel and increase its own gas extraction from 20 to 27 billion cubic meters per year in order to become self-sufficient.

Kobolyev also added that Naftogaz is ready to discuss the conditions and terms of the agreement on the supply of fuel with Russian Public Joint Stock Company Gazprom. However, it has sufficient gas reserves to comfortably meet demand during the coming heating season.

The Cabinet of Ministers of Ukraine refused to allow the Dutch company Yuzgas B.V. to sign the production sharing agreement to develop the Yuzivska gas field.

  Ukraine, Naftogaz, Gas