JSC Ukrgasvydobuvannya is pleased with the results of the first electronic auction for sale of special permits for subsoil use which took place on March 6, 2019.
The Company has won one of the priority lots for the purchase of Pivdenno-Kobzivska Field in the Kharkiv Region, with the lot final price of UAH 30,949,060. According to the auction results, the Company will obtain the first special permit for geological exploration of oil and gas subsoil in 2019, including with experimental field development with further oil and gas production for a period of 20 years.
The oil and gas electronic auctions transparent mechanism has proved its effectiveness and efficiency for both the state and the industry representatives.
UGV plans to further participate in electronic bidding held by the State Service of Geology and Subsoil of Ukraine for the new sites. Now, the Company evaluates the cost-efficient subsoil sites within implementation of its own gas production increase program.
It is worth noting that the Company makes considerable efforts to stimulate production at the existing depleted deposits. However the Company has to add new deposits to its resource portfolio for the significant increase in Ukrainian gas volumes.