Latest from Ukraine12 Jun 2019 08:33
Kolomoisky's lawyer at the head of the AP demands to continue the scandalous competition for the most gas-bearing section in the Black Sea
[08:00 June 12, 2019]
The head of the Presidential Administration urged to continue the competition to conclude production sharing agreements for the Dolphin site on the Black Sea shelf for at least 120 days. This is stated in the letter of the head of the Presidential Administration Andrei Bogdan to the Cabinet of Ministers.
The competition was started on April 12, the deadline for submission of applications was reduced to 60 days by the government, therefore, it will expire on June 12. “Given the scale of the site, which area is more than 9.4 thousand square meters. km, and the complexity of the implementation of such a project, Ukraine needs to attract foreign gas companies with practical experience on the shelf, as well as with appropriate technical and financial support, ”the letter says.
The continuation of the competition will expand the range of international bidding companies and increase the transparency of the evaluation process of their bids, the letter says.
According to a source at the Ministry of Energy, on June 12 at least two foreign companies will apply for the competition. The first is the American firm Frontera Resources. The second is the American investment fund Trident Acquisitions, which is managed by Ilya Ponomarev, who recently became a citizen of Ukraine.
Direct applicants from Ukraine are also possible, at the same time, hardly any of them will have the necessary experience in the implementation of such oil and gas projects on the shelf.
Previously, journalists found that the right to develop and produce hydrocarbons in one of the largest gas-bearing areas in the Black Sea “Dolphin” can get an American company with a dubious reputation. Frontera Resources has dubious projects in Moldova and Georgia, and its financial report for the part of 2017 and 2018 indicates that the company is unprofitable.
Market participants stated that the government artificially limits applicants for gas production in the offshore section.