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private and public producers. “Artificial price regulation will deal a blow to Ukraine's investment reputation,” the Association warns, charging that this would turn off foreign companies involved in the production sharing agreements with Ukraine.
Sergiy Makogon, CEO of Ukraine’s Transit System Operator, has said that his company invests almost $1 billion a year on maintaining the east-west pipeline system. Last month, he warned that Russia could sabotage the pipeline to ‘prove’ that Ukraine is not a reliable transit country. On Friday, he told Euractiv that International Energy Agency calculates that Russian pipelines leaks 23 times more methane that Ukrainian pipelines. He also noted that a large explosion at a Gazprom facility in August hampered exports to Europe. Friday morning a second explosion took place as a Gazprom gas processing facility under construction in Amur, the Russian Far East.
The average price of gas imports to Ukraine in September increased by 26.9%. The Ministry of Economy has reported that the average price was $543.1 (UAH14,481) per 1,000 cubic meters. The price of gas imports over the past month was 26.9% higher than the price in August of 2021 at $427.88 (UAH11,457) per 1,000 cubic meters.
Behind the jumpiness in EU gas prices is the knowledge Gazprom's storage reservoirs in north-western Europe hold 70% less gas than one year ago, Reuters reports, citing Refinitiv data.
With frosts expected in the second week of October in Kyiv, Ukrtransgaz said yesterday it has started extracting gas from its underground storage reservoirs. Ukrtransgaz CEO Serhiy Pereloma says the company has 18.7 billion cubic meters in storage -- close to the average amount at the start of the heating season over the last 10 years.
State gas producer UkrGazVydobuvannia reduced its production of gas 4.8% yoy to 10.2 bcm through September, the company reports. UGV accounts for about 70% of Ukraine’s gas production.
Ukrtransgaz received a grant from the European Commission to study the storage of gas-hydrogen mixtures in storage facilities, announced the Director for Integrated Communications of NJSC Naftogaz, Maxim Belyavsky. According to Belyavsky, Naftogaz is now selecting 10 cities in five regions of Ukraine, where the reconstruction of boiler houses will be carried out to transfer their work to biogas.
Use of hydrogen and biomethane use in Ukraine to increase in 2023. This will change the very principle of operation of the entire gas infrastructure. According to Stanislav Kazda - Hydrogen Manager of the Regional Gas company, the transportation of these gases is illegal in Ukraine. “So why is everyone talking so much about hydrogen now? In less than 30 years, both domestic consumers and industry will neither use natural gas nor oil as its primary source of energy. Even transport will run on clean energy. The new era of energy is coming and we need to start preparing now”, said Kazda.
Gas production reduced by 4.8% in nine months. In January-September 2021,
55 UKRAINE Country Report November 2021 www.intellinews.com