Chevron Confirms Ukraine Shale Award

America's Chevron has confirmed that it has been awarded a shale gas licence in Ukraine, following media reports of the company's successful bid.

In a statement to the Platts news agency, a spokesperson for Chevron said the company was happy to confirm the award.

"Chevron is pleased that the Ukrainian Cabinet of Ministers has confirmed the award of the shale gas prospecting and exploration permit for the Olesska block in western Ukraine," Platts reports the spokeswoman as saying.

"The concession covers approximately 1.6 million acres and complements Chevron's exploration opportunities in Europe."

Last week, both Minister for the Environment and Natural Resources Eduard Stavitsky and Prime Minister Mykola Azarov were reported to have said Chevron was one of two companies to be awarded shale licences in the country.

"Chevron and Royal Dutch Shell have been chosen as winning bidders for Yuzivska and Olesska areas which have enormous gas reserves," Prime Minister Azarov told Euronews on Friday.

However, Shell has yet to confirm the news.

Speaking to Platts last night, the company said that it had not received confirmation from the cabinet as of yet. If awarded the Yuzivska licence, Shell would have access to an estimate 2 trillion cubic metres of gas.

Chevron's granting of the Olesska licences gives it access to between 0.8 and 1.5 trillion cubic metres of gas.