• 3 minutes Could Venezuela become a net oil importer?
  • 7 minutes Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 12 minutes Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 2 hours Oil prices going Up? NO!
  • 11 hours Renewables to generate 50% of worldwide electricity by 2050 (BNEF report)
  • 11 hours Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 16 hours Oil prices going down
  • 19 hours Could oil demand collapse rapidly? Yup, sure could.
  • 2 days Could Venezuela become a net oil importer?
  • 9 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 2 days Oil Buyers Club
  • 16 hours Saudi Arabia turns to solar
  • 3 hours Kenya Eyes 200+ Oil Wells
  • 2 days Gazprom Exports to EU Hit Record
  • 3 hours Are Electric Vehicles Really Better For The Environment?
  • 18 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 1 day Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 17 hours Tesla Closing a Dozen Solar Facilities in Nine States
  • 9 hours OPEC soap opera daily update
Alt Text

Australia Looks To Tackle Its Looming Gas Shortage

The world’s soon-to-be top liquefied…

Alt Text

The Permian Faces A Long Term Natural Gas Crisis

Bottlenecks in the Permian have…

Joao Peixe

Joao Peixe

Joao is a writer for Oilprice.com

More Info

Trending Discussions

Ukraine Approves Major Shale Deal with Chevron

Ukraine Approves Major Shale Deal with Chevron

The government of Ukraine has approved a draft agreement with Chevron Corp. for shale gas extraction in the country’s western region in a deposit that could produce as much as 10 billion cubic meters of gas annually.

Chevron won the tender to explore the Olesska deposit in the Lviv region in February 2012, and the signing of the agreement is set for tomorrow, 5 November.

For Chevron, it means exploration in one of the most promising shale plays in Europe.   

For Ukraine, it could mean the creation of up to 15,000 new jobs and tens of billions of dollars in revenue. It could also result in new competition for Ukraine’s shale plays if junior exploration and production companies catch on to the potential here.

Related article: This week in Energy: The Coming Ukrainian Shale Boom

The government’s production-sharing agreement with Chevron provisions an initial investment of $350 million in exploration work to establish commercial viability at Olesska, which is a 5,260 square kilometer play. Total investments, including extraction after exploratory drilling, could reach $10 billion.

It was a hard-won battle that saw signing delayed due to opposition from local lobby groups who had expressed concerns over the possible environmental impact of fracking in Olesska—but regional lawmakers finally acquiesced.

Investment is picking up in Ukraine, as Kiev works to loosen the stranglehold Russia’s Gazprom has on the country and to build its energy independence as well as that of Europe as a whole.

In January, Kiev signed a production-sharing agreement with Royal Dutch Shell, which pledged to invest up to $10 billion to explore Ukraine’s unconventional gas potential.

Kiev is also hoping to close negotiations by the end of this year with a consortium led by ExxonMobil—again including Shell—to explore for oil and gas offshore Ukraine in the Black Sea.

Related article: British Draft Report Dispels Shale Gas Myths

There are three key shale plays Ukraine is looking to develop with the help of foreign companies. Together, the three plays contain an estimated 3 trillion cubic meters of gas.

The exploration deal comes as both Moscow and Kiev raise the stakes, with Moscow threatening Kiev over unpaid gas bills and sparking fears of another gas war that could leave Europe in the cold, and Kiev preparing to sign association agreements with the European Union later this month.

By. Joao Peixe of Oilprice.com




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News