Naftogaz News

A Russian warplane destroyed a Ukrainian reconnaissance vessel in an area in the Black Sea where Russian gas extraction facilities are located, the Russian Defence Ministry said early on Tuesday.The ministry said in a short statement that the Ukrainian vessel had been destroyed by an SU-30 aircraft from Russia's Black Sea Fleet.There was no immediate comment from Ukraine, which rarely comments publicly on its operations inside Russia or on Russian-controlled territory but which…

Ukrainian forces attacked drilling platforms in the Black Sea owned by a Crimean oil and gas company, the pro-Russian head of the annexed peninsula said on Monday, giving no details of what weapons were used.Three people were wounded and a search was underway for seven workers from the Chernomorneftegaz energy company, Sergei Askyonov, the Russian-installed head of Crimea, said in a post on Telegram.Crimean officials said work on three drilling platforms had been suspended after the hit, with fires reported.Reuters was unable to immediately verify the reports. Ukraine's military declined to comment.Russian-backed officials seized Chernomorneftegaz from Ukraine's national gas operator Naftogaz as part of Moscow's annexation of the peninsula in 2014. The company is under U.S.

There are only 15 km (9 miles) left to finish the Nord Stream 2 gas pipeline from Russia to Germany that bypasses Ukraine, Russian President Vladimir Putin said on Friday.The $11 billion project doubling the capacity of the first Nord Stream pipeline to 110 billion cubic meters a year has been a focal point of tensions between Moscow and the West.Despite U.S. sanctions, Nord Stream 2 is almost complete and the key question is how Russia will ship its gas to Europe once a current…

Ukraine's NJSC Naftogaz signed a memorandum of understanding with U.S. Frontera Resources on the construction of a liquefied natural gas (LNG) terminal in Ukraine, according to Ukrainian Prime Minister Arseniy Yatsenyuk. "U.S.-based Frontera will begin the construction of an LNG terminal and launch natural gas shipments to Ukraine through this terminal," Yatsenyuk said. He added that the project, which was launched in 2012 but suspended in 2013 due to inadequate investment, will allow Ukraine to import LNG from Georgia through the Black Sea. The construction of the 1.2-billion-U.S.-dollar LNG terminal, designed to have an annual capacity of 10 billion cubic meters of gas, is aimed at diversifying Ukraine's energy sources and reducing the country's dependence on gas imports from Russia.

The CEO of Russian gas company Gazprom said on Wednesday Russia would stop exporting natural gas to Ukraine unless it received prepayment from Kiev for energy supplies, Interfax reported. Gazprom also said that Ukraine had approximately three days left of prepaid gas deliveries from Russia, Interfax reported, citing a letter from Gazprom CEO Alexei Miller to the head of Ukraine's state energy company Naftogaz.   Reporting by Thomas Grove

The Gazprom headquarters hosted today a briefing session led by Alexey Miller, Chairman of the Company's Management Committee dedicated to the Company's activities this winter. Special attention was given to the contracts for gas supply to Ukraine and its transit to Europe. It was pointed out that today was the sixth anniversary of the Ukrainian Government approving the results of the negotiations on Russian natural gas supply to Ukraine from 2009 to 2019 and on the terms and conditions of its transit via Ukraine to Europe. These historic documents were effective under different Governments in Ukraine. They have determined and will determine the cooperation between Gazprom and Naftogaz of Ukraine in the gas sector until late 2019.

Russian natural gas producer Gazprom said on Saturday it had received a prepayment of $378.22 million from Ukraine for natural gas supplies, paving the way for the first shipments to Kiev since Moscow cut supplies in June. Ukraine's state energy firm, Naftogaz, said on Friday it had transferred the sum to Gazprom for December. A Gazprom spokesman confirmed the money had been received. In line with a deal signed by Naftogaz and Gazprom in October, flows to Ukraine from Russia, which were severed in a dispute over prices and debts, will resume within 48 hours from when the Russian firm receives the transfer. Naftogaz did not say how much gas it planned to buy, but earlier the energy ministry said this could be about 1 billion cubic metres.

Ukraine's state energy firm Naftogaz said on Friday it had transferred a prepayment of $378 million to Russia's Gazprom to buy Russian gas for December, paving the way for the first shipments since Moscow cut supplies in June. In line with a deal signed by Naftogaz and Gazprom in October, flows to Ukraine from Russia, which were severed in a dispute over prices and debts, will resume within 48 hours from when the Russian firm receives the transfer. Naftogaz did not say how much gas it planned to buy, but earlier the energy ministry said this could be about one billion cubic metres. (Reporting By Pavel Polityuk; Editing by Richard Balmforth and Mark Trevelyan)

Gazprom filed a lawsuit in Stockholm International Arbitration Court seeking to recover USD 4.5 billion in debt from Naftogaz of Ukraine due to the company's non-compliance with obligations under Contract No. ?? dated January 19, 2009 for natural gas purchase and sale between 2009 and 2019 (Contract), as well as its considerable outstanding debt for natural gas supplied under the Contract and non-payment of current supplies. Starting from 10:00 am (Moscow time) on June 16, 2014, Gazprom will supply Naftogaz of Ukraine with natural gas only in prepaid volumes according to contractual terms. In this respect, Naftogaz of Ukraine is obliged to secure natural gas transit to third countries in full compliance with terms of the effective Contract No. ????

Today at 10:00 (Moscow time), in full compliance with the effective contract, Gazprom switched Naftogaz of Ukraine to a prepayment of gas supplies. The decision was made owning to persistent non-payments by Naftogaz of Ukraine. The overdue debt of the company for the supplied Russian gas equals USD 4.458 billion: USD 1.451 billion – for November and December 2013 and USD 3.007 billion for April and May 2014. By the proforma invoice for June the payments also were not received. Starting from today the Ukrainian company will receive only prepaid volumes of Russian gas.

Moscow , Kiev and Brussels will restart Talks on Russian Gas Supplies on Monday to TRY to resolve a Dispute over price, a Russian Energy Ministry Official Said on Sunday. "The next (Round) of Trilateral Negotiations Tomorrow Evening will Take place in Brussels , "a spokeswoman for the Energy Ministry Said. Russia 's Energy minister Alexander Novak, his Ukrainian counterpart Yuri Prodan and the European Union 's Energy Commissioner Guenther Oettinger will Take Part in the Talks. Russia 's Gazprom and Ukraine State Energy Company Naftogaz met for Two days in Berlin Last week to TRY to Settle Dispute which could threaten the Gas flows to Europe . Ukraine and Russia Differ on How much Naftogaz has to Pay for the Gas.

Russia and Ukraine agreed on Monday to examine a payment plan to settle Kiev's multi-billion gas debts and fix a price for supplies until June 2015, offering the promise of averting an energy crisis over the crucial winter period. The argument over prices for natural gas has added to tensions as the two countries have squared off over Moscow's seizure of Ukraine's Crimea peninsula and over a pro-Russian rebel uprising in eastern Ukraine. Russia's Gazprom had been threatening to cut off Ukraine's gas on Tuesday, with potential knock-on effects for the European Union because much of the gas it receives from Russia is pumped via Ukraine. But the immediate threat of a supply disruption was avoided after Kiev paid a first instalment, prompting Gazprom on Monday to grant it a week's grace.

Ukrainian forces launched a "special operation" on Tuesday against separatist militia in the Russian-speaking East, authorities said, although aside from a landing by airborne troops the action was limited. Soldiers disembarked from two helicopters at an airfield at Kramatorsk, where reporters earlier heard gunfire that seemed to prevent an air force plane from landing. The troops withdrew into barracks after local civilians manning a barricade gave them a hostile reception when they tried to leave the compound. In Kiev, acting President Oleksander Turchinov declared a much-needed victory over pro-Russian rebels by saying the air base had been "liberated." But there was no sign of militants.

Pro-Russian militants raised their flags over official buildings in two eastern Ukrainian cities on Saturday, deepening a stand-off with Moscow which, Kiev warned, was dragging Europe closer to a "gas war" that could disrupt supplies across the continent. At least 20 men armed with pistols and rifles took over the police station and a security services headquarters in Slaviansk, about 150 km (90 miles) from the border with Russia. Officials said the men had seized hundreds of pistols from arsenals in the buildings. The militants replaced the Ukrainian flag on one of the buildings with the red, white and blue Russian flag. Some local residents helped the militants build barricades out of tyres in anticipation that police would try to force them out, a Reuters photographer at the scene said.

Ukraine is suspending payments to Russia for gas deliveries until the conclusion of price talks, chief executive Andriy Kobolev said on Saturday. State-run Naftogaz has suspended payments to Russia amid increasing tensions in a standoff that has the potential to leave European Union states cut off from the Russian gas supplies on which they depend, according to international media reports. Russia has raised the gas price for Ukraine and claimed it owed Moscow USD 2.2B in unpaid bills. Ukraine gets about half of its gas supply from Moscow and a large proportion of Europe's gas comes from Russia via Ukraine. On Thursday, Russian President Vladimir Putin warned that the country could cut off gas to Ukraine, thus potentially threatening European supplies, however later toned down the threat.

Gazprom and Ukraine locked in gas price dispute; Russian gas transit to Europe via Ukraine stable. Russian natural gas producer Gazprom said on Tuesday Ukraine had failed to pay for its March gas supplies on time but did not say whether the company would take any action against Kiev. "They haven't paid for March," a spokesman said, confirming that Ukraine's total debt of $2.2 billion had not been reduced by the deadline of midnight on Monday. Gazprom has often in the past not taken any action when Kiev failed to pay its bills on time. But it cut off gas supplies to Ukraine during price disputes in the winters of 2008/2009 and 2005/2006, disrupting supplies of Russian gas to Europe that are carried via Ukraine.

Keppel FELS say that the contract with Naftogaz of Ukraine was cancelled because certain conditions within the timeline were not met. On 4 December 2012 Keppel FELS had announced the signing of a conditional contract between them and Ukraine’s National Joint-Stock Company, “Naftogaz of Ukraine” (Naftogaz), to construct two semisubmersible drilling rigs, value approximately US$1.2-billion. This followed an earlier announcement made on 21 November 2012 that Keppel FELS had been selected as winner of the tender to construct the two semi-submersbles. The rigs were to have been built to Keppel FELS’ proprietary DSSTM 38U design, customised for the Black Sea environment. The harsh weather conditions there include extreme freezing temperatures, storms with strong winds and heavy seas.

Keppel FELS Limited (Keppel FELS), a wholly owned subsidiary of Keppel Offshore & Marine Ltd (Keppel O&M), is on track to deliver Ukraine's second KFELS B Class jackup rig ahead of schedule, within budget and with a perfect safety record. This follows the redelivery of their first jackup rig of the same design, in Ukraine in May this year. Built to Keppel's proprietary KFELS B Class design, this second jackup rig will be deployed on the Ukrainian shelf of the Black Sea for its owner Chernomornaftogaz. According to Ukraine's official estimates in 2011, the country boasts proven reserves of natural gas (1200 billion cubic meters) and oil and gas condensate (220 million tons).

Ukraine's state energy company Naftogaz said on Thursday it has fully paid for Russian gas supplied in January and is in talks with Russia's Gazprom on settling other payments to ensure safe gas deliveries. Gazprom said on Wednesday that Ukraine's total debt for Russian gas deliveries stood at $2 billion and warned it would increase prices starting from April 1. Gazprom declined to comment on Naftogaz statement.

Dolphin Offshore Enterprises (India) Ltd., an offshore construction and ship repair company for the oil and gas industry, has lined up investments worth Rs 1,000 crore over the next 5-6 years, a senior company official said. Dolphin has already invested $35m in the initial expansion plans like acquiring ships. Offshore construction being its main focus, Dolphin is looking at moving up the value chain with bigger contracts and would invest Rs 200 crore for expansion in this field. The company, which currently owns 12 ships, has ordered two more work boats and an offshore construction barge. Dolphin is currently bidding for the $32m barge bumper contract floated by ONGC. It is also registered with Saudi Aramco and is in the final stages of talks with Abu Dhabi National Oil Co.

Russia's top natural gas producer, Gazprom, will eventually lose more than it gains from raising the gas price for Ukraine by 80 percent, analysts said on Friday, predicting Kiev would cut purchases and fail to pay in full. Gazprom on Thursday announced a price rise for Ukraine to $485 per 1,000 cubic metres, the second increase in three days. The $485 price is the highest of any Gazprom customer and compares with around $370 on average for clients in the European Union. Ukrainian Prime Minister Arseny Yatseniuk said the increase, two weeks after Moscow annexed Ukraine's Crimea region, was unacceptable and warned he expected Russia to step up pressure by limiting supplies to Ukraine.

Keppel FELS signs contract to construct the rigs for Ukraine's National Joint-Stock Company "Naftogaz of Ukraine" (Naftogaz). The contract is worth about US$ 1.2-billion, but is dependent upon final corporate approvals. The rigs will be built to Keppel FELS' proprietary DSSTM 38U design which is customised for the Black Sea environment. The harsh weather conditions of the Black Sea include extreme freezing temperatures, storms with strong winds and heavy seas. Durable grades of steel with increased thickness will form the basis of the structural design of the hull and pontoons of the rigs. They will have winterisation features such as machinery cladding, advanced heating systems to prevent equipment and pipe freezing as well as enhanced air conditioning for the living quarters.

Keppel FELS Limited (Keppel FELS), a wholly owned subsidiary of Keppel Offshore & Marine Ltd (Keppel O&M), has signed a contract with Ukraine's National Joint-Stock Company "Naftogaz of Ukraine" (Naftogaz), to construct two semisubmersible drilling rigs worth about US$1.2 billion. The contract will be effective upon final corporate approvals. This follows an earlier announcement made on 21 November 2012 in relation to Keppel FELS being selected as winner of the tender to construct the two semisubmersible drilling rigs. The rigs will be built to Keppel FELS' proprietary DSSTM 38U design which is customised for the Black Sea environment. The harsh weather conditions of the Black Sea include extreme freezing temperatures, storms with strong winds and heavy seas.