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Ukrainian gas transport system (GTS).
The amount of gas Gazprom is sending is radically reduced from earlier transit volumes and well below the capacity of Ukraine’s GTS which is able to carry some 140 bcm a year. Russia has already started rerouting some of the transit business via its own Nord Stream pipeline that has a 50bcm capacity and that could be doubled if work on the controversial Nord Stream 2 pipeline is every completed.
"The Ukrainian gas transmission system operator is ready to provide a larger volume of transit with the appropriate requests from Gazprom," Makogon wrote on Facebook on January 4.
JKX Oil & Gas reported on January 18 that its total hydrocarbon output reached 9,825 boepd in 4Q20, which is 4.1% less qoq and 10.6% less y/y​. Its output in Ukraine fell 8.0% qoq and 24.1% y/y to 4,351 boepd.
In 2020, the company’s output slid 4.7% y/y to 10,238 boepd, of, which output in Ukraine was 4,849 boepd (down 13.2% y/y) and in Russia it was 5,389 boepd (up 4.5% y/y).
JKX's cash position improved significantly in 2020 on declining investment activity. As a result, it posted end-2020 cash of $24.5mn, up from net cash of $14.9mn at the year’s start.
The company also reported on low yield from its two new wells it drilled in Ukraine in 2020, an IG-146 sidetrack of NN75.
The company’s 2020 production result fell in the middle of the range we forecasted (down 4.5-5.0% y/y). With no encouraging results from new wells in Ukraine, the company will continue to show output decline in 1H21 by about 4-6% y/y. Meanwhile, higher gas prices in Ukraine will enable the company to boost its P&L in the first half of the year and possibly improve its cash position. At the moment, it’s not clear whether the company will use its accumulated cash to pursue new drilling operations in Ukraine, or decide to distribute some dividends.
9.1.2 ​Automotive sector news
Imported used cars accounted for 80% of the 438,900 first time car registrations​ in Ukraine last year, reports Ukrautoprom, the vehicle industry association. In December, about 40,000 used cars were registered, the highest monthly number in almost two years and 31% more than in Dec. 2019. In 2020, 353,400 used cars were registered for the first time, down 13% from the 2019 level. In 2019, a tax amnesty for illegally imported cars provoked a one-time surge of registrations.
Ukraine’s car production fell by one third in 2020, to 4,202 cars, ​reported Ukrautoprom. This is 1% of Ukraine’s peak production, of 424,000 cars in 2008, and 1% of the 438,900 cars imported last year. In the Soviet era, Ukraine was the second largest car producing republic, after Russia. Two years ago, efforts to attract a major German car manufacturer failed after the sudden shift to electric car production turned the industry upside down.
63​ UKRAINE Country Report​ February 2021 ​ ​www.intellinews.com