Ukrainian Gas Reserves Revised Downward

London-listed exploration company, Regal Petroleum, has given figures estimating the natural gas reserves of Ukraine lower than expected.

The company said in a statement that tests had shown a "material reduction" in amounts anticipated. Reserves were lower than expected from its Mekhediviska-Golotvshinska and Svyrydivske gas and condensate fields.

Regal said last month that production from fields in Ukraine for the first two months of the year averaged 7.9 million cubic feet per day of natural gas.

Ukraine is anxious to build up energy independence so it does not rely so heavily on Russia, which it has had some bitter disputes about gas contracts. Shale reserves are one area which is hoped to yield plenty of gas.

Earlier this year, energy major Shell signed a $10 billion (€7.6bn) contract to explore Ukrainian shale. Ukrainian Prime Minister Mykola Azarov said there could be enough natural gas in shale plays to meet his country's needs without imports.

See also: Gas As An Instrument of Russian Pressure on Ukraine