Ukrainian Energy LLC plans to drill 3 wells in accordance with the project of the Varvinsk Area

 The Texas company Ukrainian Energy LLC intends to carry out the planned activities envisaged in the draft Production Sharing Agreement (PSA), namely exploration and industrial development of the hydrocarbon deposits in the Poltava and Chernihiv regions.

This is stated in the register of environmental impact assessment (ATS) of the Ministry of Energy and Environmental Protection of Ukraine, October 24, 2019. According to the report, the planned activity includes the following stages of geological study:

• conducting at least 700 square kilometers of 3D seismic surveys within the Varvinsk site for their further processing and interpretation;

• based on the interpretation of 3D seismic drilling 3 exploration wells within the area of geological study.

As stated above, the construction of three exploration wells, with a projected depth of 5,000 m for exploration and prospecting of hydrocarbon deposits, as well as the construction of a gas treatment plant and connection of wells to it. Drilling is expected to be done by rotary and turbine methods by an electrically driven drilling rig.

 It should be recall, in this July the Cabinet of Ministers published the decree on determination of winners of competitions for the conclusion of agreements on distribution of hydrocarbons on 9 areas, and one from which (Varvinsky) the Ukrainian Energy LLC won.

 Expro Reference:

According to the resolution of the Cabinet of Ministers of Ukraine from December 18, 2018 No. 1179 "On holding a competition for the conclusion of an agreement on the distribution of hydrocarbons to be produced within the Varvinsk area", the site covers 3471,26 sq km, and includes sedimentary deposits lying within its perimeter and limited to a depth of 10,000 m from the surface.

Ukrainian Energy LLC (Texas, USA) - was established with the purpose of entering the oil and gas sector of Ukraine. In 2018, Aspect Holdings, LLC and Sigma Bleyzer Investment Group, LLC set up the International Fund for Ukrainian Energy LP (IFUEL) to invest in Ukraine's energy sector (more than $ 100 million was approved in the first fund) .