* Shale deal will be second for Ukraine
* Ukraine seeks gas independence from big supplier Russia
KIEV, Oct 30 (Reuters) - Ukraine said on Wednesday it willsign a $10 billion shale gas production-sharing agreement withU.S. energy major Chevron next week - its second suchdeal this year.
Ecology Minister Oleh Proskuryakov said the deal forexploration and extraction at the Olesska site in westernUkraine, which follows one signed with Royal Dutch Shell earlier this year, would be signed next Tuesday at aregional economic forum in the capital Kiev.
Deputies in western Ukraine cleared the way for a deal whena majority voted in favour of the government's plans forexploration at Olesska, overcoming opposition from local lobbygroups concerned at possible ecological damage from the project.
"The government has approved the draft agreement which willbe signed within the framework of the investment forum on Nov. 5in Kiev," Proskuryakov was quoted as saying by the Interfax newsagency.
The production-sharing agreement foresees an initialinvestment of $350 million by Chevron in exploratory work aimedat establishing how commercially viable shale reserves are atOlesska, which covers 5,260 square kilometres.
Total investments, including extraction after exploratorydrilling, are put at around $10 billion.
The Shell deal, for a similar level of investment, is forexploration in Yuzivska in eastern Ukraine.
The two shale gas projects could provide Ukraine with anadditional 11 to 16 billion cubic metres (bcm) of gas in fiveyears' time, according to government projections.
Shale exploration forms part of plans by Ukraine todiversify its energy sources to ease dependence on costlynatural gas imports from Russia.
