Naftogaz Eyes British Partnerships to Boost Gas Production

Ukrainian state-owned oil and gas company Naftogaz Group said it plans to collaborate with British companies to raise natural gas production in Ukraine.

Naftogaz chair Roman Chumak relayed the plans to United Kingdom Ambassador to Ukraine Martin Harris at a meeting in Kyiv, during which they discussed preparations for the 2025-26 heating season and prospects for expanding cooperation.

The company is strengthening efforts to help ensure energy security despite continued Russian attacks on critical infrastructure, Chumak told the envoy.

“Harris assured Naftogaz of the UK’s support and acknowledged its pivotal role in maintaining Ukraine’s energy security”, Naftogaz said in an online statement.

“The United Kingdom remains a steadfast partner and friend to Ukraine, which continues to endure relentless enemy aggression”, Harris was quoted as saying.

Ukraine had 11.97 terawatt hours (tWh) of stored gas as of Saturday, representing a filling level of 3.76 percent, according to an online dashboard of the European Network of Transmission System Operators for Gas. At the end of last year Ukraine had 52.6 tWh of stored gas. It has not made an injection since November, based on the monitoring tool.

Earlier this month Naftogaz secured about 200 million cubic meters (7.06 billion cubic feet) of gas from Polish majority state-owned integrated oil and gas company ORLEN SA.

The supply, committed under two contracts, is part of a liquefied natural gas (LNG) cooperation deal between the two companies to help diversify Ukraine’s energy sources.

In a press release March 18 announcing the second gas supply contract, Naftogaz said, “The gas will be transported to Ukraine in April and will be used to create strategic gas reserves, which are crucial for Ukraine’s energy security and for ensuring the stable passage of the next heating season”.

ORLEN procured an LNG cargo from the United States and will regasify this for transfer on the Polish-Ukrainian border, ORLEN said separately.

Meanwhile their broader LNG cooperation agreement “is a framework arrangement aimed at strengthening cooperation to enhance Ukraine’s energy security through the diversification of gas supply sources and routes to the country”, according to a statement by ORLEN March 7.

Robert Soszynski, vice president of ORLEN’s management board for operations, said at the time, “Our relationship will be based on commercial terms, but securing an additional source of gas is vital for Ukraine also from the point of view of its security”.

“It is through diversification that ORLEN ensures stable and competitive gas supplies for Polish consumers and can be a reliable partner for foreign counterparties”, Soszyński added.

Chumak said then, “Ukraine has a robust gas transportation system and Europe’s largest underground storage facilities, offering unique opportunities for LNG market expansion”.

“Partnering with ORLEN strengthens energy security, diversifies supply routes, and accelerates Ukraine’s integration into the European gas market”, Chumak added.

In 2024 Naftogaz produced 13.9 billion cubic meters (Bcm) of gas, up from 13.2 Bcm in 2023.

Naftogaz, through subsidiary JSC Ukrgasvydobuvannya, commissioned 83 wells - 60 for production and 23 for exploration - last year, Naftogas said.

“In 2024, the company expanded directional drilling, which facilitated gas production in hard-to-reach areas”, it said.

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