PM says the signing is a crucial step towards the nation’s power independence.
REUTERS
The Cabinet of Ministers of Ukraine has signed production sharing agreements (PSAs) with numerous firms for seven oil and gas production sites.
The signing ceremony, attended by Prime Minister Denys Shmyhal, occurred on December 31, in keeping with the Energy Ministry’s press service.
On behalf of the Ministry, the agreements have been signed by Deputy Minister Yuriy Boyko. The offers have been signed for seven sites: Berestiansky, Ivankivsky, Buzovsky, Balakleisky, Uhnivsky, Sofiyivsky, and Zynkivsky.
PM says the signing is a crucial step towards the nation’s power independence and power self-sufficiency, for the reason that improvement of those fields will assist considerably enhance personal gas production.
Read alsoZelensky elaborates on advantages of state suppliers of natural gas for householdsAccording to the agreements signed, Ukraine palms the correct to a non-public investor to discover and produce minerals in a particular space for a sure interval. The investor, for its half, undertakes, at its personal expense, to carry out the assigned work with subsequent compensation of bills and receipt of fee within the type of part of the worthwhile product.
Background
On July 1, 2019, the Interdepartmental Commission designated the winners of the tender for concluding production sharing agreements (PSA) concerning 9 oil and gas production sites in Ukraine.
At the tip of December 2020, the Cabinet signed the related orders to conclude PSAs for hydrocarbon production throughout the Berestiansky, Ivankivsky, Buzovsky, Balakleisky, Uhnivsky, Sofiyivsky, and Zynkivsky sites.
The state-owned Ukrgazvydobuvannya, along with the Canadian oil and gas producer Vermilion Energy, have been granted the correct to extract oil and gas on the Balakleisky and Ivankivsky sites.
Ukrgazvydobuvannya independently gained the Berestiansky and Buzovsky sites.
Also, Ukraine Energy LLS gained on the Varvynsky web site, Oil and Gas Overseas Trading B.V. and Naftogazexpluatatsiya, co-based by DTEK Oil & Gas B.V., gained on the Zynkivsky web site, a non-public oil and gas firm Geo Alliance Partnership gained on the Sofiyivsky space, and Well CO – on the Uhnivsky web site.
The deposits are situated in Ivano-Frankivsk, Lviv, Poltava, Chernihiv, Sumy, and Kharkiv areas.
