LONDON, June 11 (Reuters) - Oil major Shell isconsidering withdrawing from its last exploration well inUkraine as the project has been on hold for nearly a year due tothe conflict between pro-Russian separatists and Ukrainianforces.
Shell said it has been unable to perform its commitments inrelation to the Yuzivska production sharing agreement (PSA) withproject partner Nadra Yuzivska LLC due to a force majeure thathas been in place since last July.
"We have begun discussions with the Ukrainian government andour partner Nadra Yuzivska LLC on the way forward with the PSA,"Shell said in a statement.
It said project conditions had materially changed since thesigning of the agreement in 2013.
An official at Ukrainian state-run company Nadra Ukrainy,Shell's joint venture partner, said his company had noinformation about Shell wanting to withdraw from the project.
Chevron pulled the plug on a $10 billion shale gas deal inUkraine late last year. (Reporting by Ron Bousso in London; Additional reporting byPavel Polityuk in Kiev; Writing by Karolin Schaps, editing byWilliam Hardy)
