Ukraine plans to grant US rights to two oil and gas sites
Prime Minister of Ukraine Yulia Svyrydenko (photo: Getty Images)
The Cabinet of Ministers has decided to relaunch tenders for the distribution of hydrocarbons at the Mezhyhirska and Svichanska sites, located within Lviv, Ivano-Frankivsk, and Chernivtsi regions, Prime Minister of Ukraine Yulia Svyrydenko reported.
As Svyrydenko noted, this decision was made to implement the provisions of the US–Ukraine deal on the creation of a reconstruction investment fund.
"The conditions have been updated – with the right for the US partner to purchase the products and with a guarantee that no more favorable terms will be offered to other participants," the statement said.
Svyrydenko also said that she had instructed the Ministry of Economy and the State Service on Geology and Mineral Resources of Ukraine to conduct an audit of all subsoil users who have received permits for strategically important deposits.
"We plan to check who is actually working and who is holding licenses without extraction. Such sites must either produce results or return to auction for bona fide investors," the Prime Minister explained.
She emphasized that Ukraine's natural resources must work for the country's economy.
Minerals deal
On May 1, Ukraine and the United States signed a minerals deal that provides for the creation of an investment fund to be replenished from the sale of Ukrainian mineral resources.
Svyrydenko noted that the document contains provisions critical for Ukraine and is beneficial for both parties. At the same time, the mineral resources remain the property of the state.
According to her, the Ukrainian–American reconstruction investment fund could start operating within a month to a month and a half after the agreement is ratified by the Verkhovna Rada - Ukraine's parliament.
More details on the content of the minerals deal can be found in the RBC-Ukraine article.
