Ukraine: $8 billion needed to cover gas reserves for the winter
"So as to have gas reserves of 19 billion cubic metres, an additional 5.8 billion cubic metres will have to be imported," Ukraine's state-owned gas utility Naftogaz chief executive Yuriy Vitrenko said. Reserves of 15 billion cubic metres would also suffice in principle, Vitrenko added.
- Economy
- DPA
- Published Date: 08:06 | 21 June 2022
- Modified Date: 08:06 | 21 June 2022
Ukraine's state-owned gas utility Naftogaz will need an additional $8 billion to secure sufficient reserves for the winter, Naftogaz chief executive Yuriy Vitrenko said on Tuesday.
"So as to have gas reserves of 19 billion cubic metres, an additional 5.8 billion cubic metres will have to be imported," he said. Reserves of 15 billion cubic metres would also suffice in principle, Vitrenko said.
He put current supplies at around 10.5 billion cubic metres, a level above the average for 2016-18. The company hopes to finance the imports through US or European loans. Ukraine covers 87% of its heating needs with natural gas.
Consumption has declined faster than production as a result of the war. Ukrainian gas production is expected to fall by between 5% and 10% this year. "We currently have a gas surplus on the Ukrainian market," Vitrenko said.
Western aid has covered a large part of national expenditure since the Russian invasion in late February. Kiev puts its need for finance at the equivalent of more than $5 billion every month.