TNK BP to Invest $1.8 billion in Ukraine Unconventional Gas

TNK-BP Ltd. plans to invest $1.8 billion in unconventional gas projects in Ukraine over the next six to seven years, the company's vice president for gas and power supply Mikhail Slobodin said.

Investing $1.8 billion into six Ukrainian shale deposits until 2017 or 2018 will allow TNK-BP to produce up to 3 billion cubic meters of gas a year, with initial production lower than that, Slobodin said.

"Even though they had success with shale gas in the United States, it doesn't mean we will have the same success in Ukraine or Poland," Slobodin said. "No-one really knows."

TNK-BP, is targeting six licenses containing unconventional tight gas in Ukraine.

Source: Marketwatch