Naftogaz Group to Collaborate with Siemens Energy on Modernizing Ukrainian UGS, Heat and Power Production – Memoranda Signed

The implementation of innovative technologies in the operation of Ukraine's underground gas storage facilities, with a focus on decarbonization and efficiency improvements, and new combined heat and power production projects, are the main priorities of the cooperation between Naftogaz Group companies – JSC Ukrtransgaz and PJSC Ukrnafta – and the Siemens Energy.

The relevant memorandums of understanding were signed on June 11, 2024, at the International Conference on the Reconstruction of Ukraine in Berlin.

Developing energy infrastructure and enhancing Ukraine's energy security are currently among the main tasks of the Naftogaz Group. Modernizing UGS remains an unconditional priority for us today. Joint projects with Siemens Energy on combined heat and power production using gas turbine technology will allow us to provide cities with heat and light amid Russian attacks," said Oleksiy Chernyshov, head of the Naftogaz Group.

He also added that it is important for the Group to ensure that all assets operate in the most sustainable way possible.

This will facilitate integration into the European energy space. Our gas storage facilities are the largest in Europe, and their resources can support the EU. I thank Siemens Energy for their support and willingness to provide advanced technologies," noted Oleksiy Chernyshov.

The memorandums include:

  • Developing solutions based on the best available technologies for underground natural gas storage facilities in Ukraine, focusing on decarbonization and efficiency improvements;
  • Collaborating on sustainability initiatives related to gas storage;
  • Exploring the possibilities of implementing advanced automation and electrical solutions for compressor stations at underground gas storage facilities;
  • Developing new combined heat and power production projects based on combined-cycle gas turbine  (CCGT) technology.

About Siemens Energy

Siemens Energy is one of the world’s leading energy technology companies. The company works with its customers and partners on energy systems for the future, thus supporting the transition to a more sustainable world. With its portfolio of products, solutions and services, Siemens Energy covers almost the entire energy value chain – from power and heat generation and transmission to storage. The portfolio includes conventional and renewable energy technology, such as gas and steam turbines, hybrid power plants operated with hydrogen, and power generators and transformers. Its wind power subsidiary Siemens Gamesa makes Siemens Energy a global market leader for renewable energies. An estimated one-sixth of the electricity generated worldwide is based on technologies from Siemens Energy. Siemens Energy employs around 99,000 people worldwide in more than 90 countries and generated revenue of €31 billion in fiscal year 2023.

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