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    Ukraine Left Embarrassed After Gas Deal Dupe

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Summary

Ukraine has been left embarrassed today after reportedly being duped on an investment deal to with Spanish utility company Gas Natural Fenosa.

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Natural Gas & LNG News, News By Country, Spain, Ukraine, Liquefied Natural Gas (LNG)

Ukraine Left Embarrassed After Gas Deal Dupe

Ukraine has been left embarrassed today after reportedly being duped on an investment deal with Spanish utility company Gas Natural Fenosa.

Reuters reports that, following the announcement of the $1.1 billion investment into the construction of an LNG terminal, Ukraine has today confirmed that it mistakenly signed a contract with a man who it believed was a representative of Gas Natural Fenosa.

Though details as to the man's actual affiliations are unclear, Gas Natural Fenosa has officially stated that he is not affiliated with that company.

"Gas Natural Fenosa has not signed any contract to invest in a LNG plant project in Ukraine, nor is it leading any consortium whatsoever for the development of the aforementioned terminal," an official statement for the company said earlier this week. "Gas Natural Fenosa has nothing under study in this regard, nor does it have representatives working in Ukraine on this issue. We categorically deny the news reports which have been circulating throughout the day in various media."

The man has been identified both as Jordi Sarda Bonvehi and Jordi Garcia Tabernero by different media outlets.

Though some confusion reigned in Ukraine yesterday, a spokesperson for the Ukrainian state investment agency acknowledged that the man was in fact was Jordi Sarda Bonhevi, despite earlier identifying him as Jordi Garcia Tabernero.

"He was organizing the visit of (the Gas Natural Fenosa) representatives," spokesman Vitaly Demyanyuk told Reuters yesterday. "Unfortunately, for technical reasons, company representatives did not come."

Mr. Demyanyuk also said Mr. Bonhevi had signed the papers on behalf of Natural Gas Fenosa. "He expected the company would confirm his powers (to do so)."

The investment agency released a statement today saying that it had formally written to the Spanish company to confirm whether it had an interest in continuing with the investment. This was done through diplomatic channels, it said. This letter will seek to clarify the final statement from Natural Gas Fenosa on the matter. 

Natural Gas Fenosa has said in a statement that it did not authorise such a deal and would not without the presence of its chairman at the signing.