On 22 January 2018, Naftogaz made the final payment under USD 300 million loan facility agreement concluded with the EBRD in October 2015 and thereby fulfilled its obligations in full and on time.
Naftogaz used the revolving loan facility from the EBRD, which was guaranteed by the government, to procure gas for Ukrainian consumers during the heating seasons 2015-2018.
The company bought 5.3 bcm of gas at Ukraine’s western border over the effective period of the agreement, using the EBRD procurement procedures.
The implementation of Naftogaz Corporate Governance Action Plan by the Ukrainian government was a requirement for the EBRD loan. The delay in its implementation was a reason for the resignation of independent directors from the supervisory board of Naftogaz in 3Q 2017. The company’s Charter and regulations on its supervisory and executive boards that were agreed when the EBRD opened the facility in 2015 have not been brought into force since 1 April 2017 as required.
In the fall of 2017, the government did not apply to the EBRD for an extension of the current agreement.
The government appointed the new supervisory board of Naftogaz in December 2017. However, the documents that empower the board according to the OECD principles of corporate governance for state-owned enterprises are yet to be put into effect.
Corporate Communications Department
NJSC Naftogaz of Ukraine