The Cabinet of Ministers plans to allocate in 2009 500 million UAH for increase in gas production in Ukraine

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The government plans to direct in 2009 to 500 million hryvnias from the state budget on increase in gas production in Ukraine. The Minister of Fuel and Energy Yury Prodan reported today about it, the correspondent of RBC - Ukraine reports.

According to him, the specified sum it is planned to allocate from Stabilization Fund and to direct on increase in gas production on the Black Sea shelf, first of all, on the Odessa field.

Earlier the President of Ukraine Victor Yushchenko declared that gas production and oil on a shelf of the Black Sea has to become the priority direction in economy development.

We will note, the largest gas company of Ukraine - a recreation center of "Ukrgazdobycha" increased gas production in 10 months 2008 in comparison with the corresponding period of 2007 by 0,9% - to 12, 36 billion cubic meter, according to the company. In October of this year gas production increased in comparison with October, 2007 for 3,9% - to 1,3 billion cubic meters. In the long term the company intends to increase gas production to 25 billion cubic meter.

According to experts, for achievement of this purpose it is necessary to invest in gas production about 2,1-2,3 billion hryvnias annually. Meanwhile, last year the daughter of "Naftogaz" spent for these purposes a little more than 600 mln. dollars

I increased production of natural gas and "Ukrnafta". So, in January - November the company increased gas production by 0,3% - to 268,7 million cubic meter. In turn, JSC Chernomorneftegaz reduced gas production in comparison with the corresponding period of 2007 by 4,4% - to 1,1 billion cubic meter.

We will remind, gas production in Ukraine in 2008 increased by 1,6% in relation to the similar period of 2007 - to 19,7 billion cubic meter.


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