As of 1 January 2011, proved reserves of natural gas in Ukraine amount to 549 BCM, and proved reserves of oil amount to 99 million tons.
Energy sector in Ukraine
There are wide-ranging opportunities in Ukraine in terms of oil & gas exploration and extraction,
modernisation of the gas transportation system, energy efficiency and power generation from renewables.
As of 1 January 2011, proved reserves of natural gas in Ukraine amount to 549 BCM, and
proved reserves of oil amount to 99 million tons. The forecasted gas resources are estimated at
4450 BCM, and oil reserves at 990 million tons (including the gas condensate).
The forecasted unconventional gas resources of all types exceed 34 trillion m3, making Ukraine
one of the 10 most promising countries. However, the data on proved reserves is currently
available only for coal bed methane. Assessment of reserves and identification of promising
areas for shale gas and tight gas require large-scale prospecting and geological work, with
funding amounting to around USD 1 bn.
The Ukrainian gas transportation system (GTS) is the largest in Europe. The length of main gas
pipelines totals 39,800 km, along which 74 compressor stations are located with a total capacity
of 5.45 GW. The system capacity amounts to 288 BCM/year at input and 178.5 BCM/year at
output, including the transit to Western and Central European countries (142 BCM/year).
Ukraine has the largest natural gas storage system in Europe. It comprises 13 underground gas
storage (UGS) facilities with a total active capacity of 32 BCM and a maximum daily output of
254 million m3.
Electricity production from renewable energy sources has been developing dynamically in
Ukraine, primarily through the construction of solar and wind power plants. Today, renewable
energy generation in Ukraine is stimulated by a “green tariff” (one of the most attractive tools for
investors in Europe) to ensure profitability of electricity generation from renewable sources.
There are also other stimulating mechanisms, i.e. tax benefits and renewable electricity sales
ξ Product Sharing Agreement tenders for exploration and extraction of unconventional of off
ξ Exploration and extraction of the traditional gas;
ξ Reconstruction and modernization of the Ukrainian gas transportation system and
participation in its administration by setting up a consortium;
ξ Energy efficiency projects across different sectors;
ξ Alternative energy.
Latest export opportunities – Energy
Latest export opportunities – Ukraine
Getting into the market
Ukraine is not an easy market to enter. We would recommend starting with:
ξ Market research – similar markets are not the same! Simple market research will point out
potential pitfalls as well as open up opportunities.
ξ Getting the right local advice: the most complex problems in entering the market may have
a simple and affordable solution if you get it right, with good legal, tax and accounting
The following legal forms for foreign businesses are available: general partnership; limited
partnership; added liability company; limited liability company; and joint stock company. Some
industries, including banks and insurance companies, are more heavily regulated and must be
established in compliance with specific requirements.
A representative office can carry out marketing, promotional and other auxiliary and preparatory
functions on behalf of the company. There is no prohibition for a foreign legal entity to have
both a representative office and to establish a wholly-owned subsidiary at the same time. The
most common legal forms for conducting business activities in Ukraine are joint stock
companies (JSC) and limited liability companies (LLC).
More about doing business in Ukraine
Market intelligence is critical when doing business overseas, and UKTI can provide bespoke
market research and support during overseas visits though our chargeable Overseas Market
Introduction Service (OMIS).
To commission research or for general advice about the market, get in touch with our specialists
in country - or contact your local international trade team.
ξ Victoria Burachenko, UKTI, British Embassy Kyiv. Tel: +38 044 490 3674 or email:
Contact your local international trade team
UKTI runs a range of events for exporters, including seminars in the UK, trade missions to
overseas markets and support for attendance at overseas trade shows.
13 March 2013
Latest events – Energy
More about OMIS and other UKTI services for exporters