NJSC Naftogaz of Ukraine and CBM Oil have signed the The Memorandum of intentions on exploration and development of the Black Sea shelf

NJSC Naftogaz of Ukraine and British CBM OIL Company have signed the Memorandum of intentions on cooperation aimed at geological exploration and research and industrial development of oil and gas bearing resources at the Black Sea shelf. The Chairman of the Board of NJSC Naftogaz of Ukraine Evgen Bakulin and the Chairman of the Board of CBM OIL Michael Burchill have signed this Memorandum.

At the first stage of project’s realization CBM OIL Company plans to invest $25-30 mln in drilling of reconnaissance wells at Gordiyevych structure, which is at the shelf plate of the western part of the Crimean peninsula. In case the reserves of hydrocarbon are found the Parties will consider the possibility of creation of joint company or conclusion of the contract on joint investment activity.

Cooperation of NJSC Naftogaz of Ukraine and CBM OIL Company on the development of Ukrainian part of the Black Sea shelf will make it possible to use modern technology of geological exploration and drilling. Financing of the project by the foreign investor will favor the activation of the development of the Black Sea shelf and increase of hydrocarbon production in Ukraine.

Reference: CBM OIL Company plc (Great Britain) was established in 2004. One of the priority directions of the company is joint work on the territory of CIS countries.

At the present moment the company is negotiating with the State oil company of Azerbaijan republic (SOCAR) about conclusion of the agreement on the share distribution of profits from four fields, which are at the Caspian Sea shelf.


In May 2007 the head of CBM OIL board Michael Burchill conducted negotiations in Kyiv with the Minister of fuel and energy of Ukraine Yuriy Boyko on the possibility of joint activity for the development of the Black Sea shelf.
Press Center NJSC Naftogaz of Ukraine

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