Oleh Prokhorenko, CEO of Ukrgasvydobuvannia, the country`s largest gas producer, has stated that the company plans to boost the next years` production of natural gas by 500-600 million cubic meters (mcm) compared to 2016 production targets, to 15 billion cubic meters (bcm).
”Next year, we plan to increase gas production by 500-600 mcm from the current production level through hydraulic fracturing, some other measures, as well as new drilling,” Prokhorenko said during the round-table discussions dedicated to the use of hydraulic fracturing as a method for boosting natural gas production.
The company plans to extract some14.5 bcm of gas in the current year, with the aim of boosting production volumes to 15 bcm in 2017.
”According to our plan, after holding a tender on hydraulic fracturing, the contracting companies should have started field work [commence hydraulic fracturing] in July 2016. But the court has blocked this very process … As a result, the hydraulic fracturing program has been postponed for three months, with the same delay in the beginning of the use of coiled tubing units … It is because our work was disrupted by court rulings, and over three-four months we were not able to get equipment from Belarus,” Prokhorenko said noting that such actions hinder significantly the company`s plans to increase gas production.
As UNIAN reported earlier, last year Ukrgasvydobuvannia reduced natural gas production by 3.8%, or 572 mcm, as compared to 2014, from 15.1 bcm to 14.528 bcm.
In the first half of 2016, the company increased production of natural gas by 0.4%, or 25.5 mcm, to 7.308 bcm.
Read alsoAccounts of Ukraine`s major gas company seized in debt recovery case Earlier, Ukrgasvydobuvannia CEO presented a program on gas production increase by 2020. The program envisages that gas extraction by the company will rise to 20 bcm of gas. As part of this program, the company will also carry out exploration and development drilling, hydraulic fracturing operations, etc.
UNIAN memo. Ukrgazvydobuvannya is the largest gas company in Ukraine, having produced up to 15.1 billion cubic meters of gas in 2014, accounting for 70% of the total gas production volume in the country. In 2014, Ukrgazvydobuvannya posted a net profit of UAH1.4 billion, which was 160 times higher than 2013. That year`s net profit amounted to UAH8.9 million.
