Shell is building its second well site in Kharkov Region

The English-Dutch company "Rоyаl Dutсh Shell" is carrying out the construction of the well site "Novo-Mechebilovskaia-100" (Blizniukovskii district) to prospect non-traditional gas (gas of solid stone bind) in Kharkov region. It was reported by "Shell", which is carrying out the works in the framework of the contract regarding the joint activities with the PJSC "Ukrgasdobucha". The drilling start is planned in this year. The equipment from the well "Beliaevskaia-400" (Pervomaisk district), where the drilling is completely over, is moved to the drilling site.

According to the information of the company, the costs, that "Shell" may spend on the joint activities for the period of the start-up phase of the prospecting and exploration activities in the framework of the contract, may reach up to $200 million.

In addition to the joint project with the "Ukrgasdobucha", "Shell" is involved in another Ukrainian project: prospecting of the area in Yuzovka. The company "Rоyаl Dutсh Shell" plans to begin drilling of the 15 prospecting wells on this minefield (Donetsk and Kharkov regions) already in 2014.

According to the head of the company "Shell" in Ukraine Graham Tiley, in January Ukraine and "Shell" signed the agreement about the production sharing after the company will win the contest for the right of prospecting the minefield in Yuzovka (the mining of the gas of tight sandstone is being discussed). At the moment all Ukrainian projects of the company are on the stage of prospection. Only in a few months "Shell" will be able to obtain some results. "We do not know to what extent the mining on the area is commercially effective until we receive the data, and drill the prospecting wells, and check them," Tiley said.

Information. Ukraine is trying to reduce its dependence on Russian gas. In this regard, the Government of the country has signed a number of contracts with international companies on the prospecting of gas and oil. Till the end of the current year, Ukraine expects to sign the production sharing agreement (PSA) regarding the Skifskaia oil and gas area with the consortium of companies, headed by the American "ExxonMobil". In addition, at the beginning of November PSA was signed with the "Chevron" about mining of hydrocarbons on the Olessk area.

"Ukraine has good chances to increase mining of the hydrocarbons. Earlier this area suffered from the lack of investments, but I believe, that with the course of time the internal mining volumes will grow," the head of “Shell” in Ukraine said.

Commercial mining on the Yuzovka area should begin in 2015. According to the estimation of the Ukrainian geological department, the reserves of gas on the minefield constitute more than 2 trillion of cubic meters. According to the optimistic scenario, the volume of the mining will constitute 20 billion cubic meters a year. The estimated amount of gas consumption in Ukraine in the nearest perspective will be about 50 - 60 billion cubic meters a year with the tendency of reduction of consumption. At the same, time the country has already been mining about 20 billion cubic meters of the own traditional gas. But this source will decrease with each passing year, as minefields have already been depleted.

The project of exploitation of the Yuzovka area is at the initial stage. After an integrated environmental, geological, social, and economic assessment of the territory it is planned to do a seismic prospecting and drill 15 wildcats during 5 years. At the moment, the company "Shell" does not carry out any industrial works on Yuzovka area. According the experts of "Rоyаl Dutсh Shell", the projected gas reserves are 3 - 3.5 trillion cubic meters.

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