Seismic surveys, drilling, and tax incentives are key for success in PSA projects – Stepan Kozytsky

Seismic surveys, drilling, and incentive taxation for new wells are the key necessary for the success of oil and gas production projects, and now all participants in this market are calling on the government to extend these incentives. Stated Stepan Kozytsky, director of the largest private gas producing company in Western Ukraine – Zakhidnadraservice during the Ukraine Gas Investment Congress.

"Having signed an agreement with the Government of Ukraine on HC production sharing (PSA) to the Uhnivska area, we actively started working on it in 5 days. After all, according to the agreement, the time has come when the company has to fulfil its obligations to the state. So, in 4 months, we completed over 100 square kilometres of 3D seismic survey and more than 100 linear kilometres of 2D seismic on 3 of the 6 sections of the Uhnivska PSA area. And by July 4 next year, the company plans to drill three wells," Kozytsky said.