Ukraine signs $10bn shale deal with Shell

Ukraine shale: Country signs first $10bn gas deal with Shell

Reuters/Scanpix

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News Wires

 24 January 2013 19:45 GMT

Ukraine took its first major step away from dependency on Russian gas imports on Thursday when it signed a $10 billion shale gas deal with Shell, a report said.

The 50-year production sharing agreement, signed on the sidelines of the World Economic Forum in Davos, marks the biggest contract yet to tap shale gas in Europe and the largest foreign investment in the former Soviet republic, Reuters reported.

Disputes between Kiev and Moscow seriously disrupted Russian gas flows via Ukraine in 2006 and 2009, with European Union members Bulgaria and Slovakia left without energy in the depths of winter.

They remain at odds over the terms of a 2009 Russian supply deal brokered by former prime minister Yulia Tymoshenko, for which she…

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