Ukraine: Eni Signs Shale Gas Deal

Eni has further deepened its presence in Ukraine with the signing of a deal which will see it take a 50.01 per cent interest in WestGasInvest.

The shares are acquired through a Share Purchase Agreement signed with National Joint Stock Company Nadra Ukrayny and Cadogan Petroleum Plc. Through the deal, Eni gains access to nine shale licence areas in Ukraine, held by WestGasInvest. All licences are located within the Lviv Basin.

Eni says the deal grants the company access to "one of the most prospective basins in Europe" and furthers its position in both Ukraine and the unconventional gas market.

"This transaction, which strengthens the company's presence in Ukraine, represents a major step forward for the development of Eni's global unconventional portfolio," the company said in a statement today.

"It will allow Eni to establish the foundation from which to build a robust future in that country."

This is the second shale interest Eni has taken in Ukraine in the past year, following the transferring of part of Cadogan's licences in the Pokrovska and Zahorianska licenses in July last year to Eni.