Ukraine, Frontera Sign Construction of LNG Terminal
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.
Frontera Resources is an international oil and gas exploration and production company that was founded in 1996. The company's strategy is to identify opportunities and operate in emerging markets in Eastern Europe around the Black Sea.