Ukraine signs memo with U.S. Frontera on construction of LNG terminal

U.S.-based Frontera will begin the construction of an LNG terminal and launch natural gas shipments to Ukraine through this terminal.

NJSC Naftogaz of Ukraine signed a memorandum of understanding with U.S. Frontera Resources at the first U.S.-Ukraine Business Forum in Washington on July 13, on the construction of a liquefied natural gas (LNG) terminal in Ukraine, according to Ukrainian Prime Minister Arseniy Yatsenyuk.

"U.S.-based Frontera will begin the construction of an LNG terminal and launch natural gas shipments to Ukraine through this terminal," Yatsenyuk said when reporting to the parliament on Friday.

According to Frontera, the memorandum of understanding serves to establish a focused joint effort to work together in upstream exploration and production projects in Ukraine, as well as to study the possibility to bring liquefied natural gas to Ukraine from Frontera's ongoing work in Georgia where it has identified combined prospective natural gas resources of as much as 12.9 trillion cubic feet (365 billion cubic meters) of gas-in-place, with as much as 9.4 trillion cubic feet (266 billion cubic meters) of recoverable prospective natural gas resources at the Mtsare Khevi Gas Complex and Taribani Field Complex, Bloomberg reported.

Frontera Resources is an international oil and gas exploration and production company that was founded in 1996. The company's strategy is to identify opportunities and operate in emerging markets in Eastern Europe around the Black Sea.