Ukraine ramps up shale output

Submitted by Charlotte Owen on Wed, 2012-05-16 09:20

16th May 2012

Russia’s grip on Ukrainian energy supplies will loosen in the next three years as part of a move to considerably increase domestic natural gas supplies

Kiev announces move to increase gas production

Ukraine will increase shale production by up to 25 per cent by 2015, helping the country break free of its energy dependence on Russia, prime minister Mykola Azarov announced.

The country will partner with Shell and Chevron to develop two of its shale gas fields.

Both companies outbid other contenders for the partnership, including Russian company TNK-BP.

With 42 trillion cubic feet of shale gas reserves, Ukraine is the fourth-largest potential supply of natural gas in all of Europe, according to the Financial Times.

But due to a history of inefficient energy practices and stalled development, the country still imports most of its natural gas from Russia.