Naftogaz Expects GTS Assessment to Be Completed by July

Deputy CEO of Naftogaz Vadym Chuprun has said today that an assessment on the Ukrainian gas transport system (GTS) could be completed by July.

The assertion comes following the disclosure this morning of final tender proposals submitted to assess the GTS. The proposals were tendered to Naftogaz Ukrainy, Ukraine's state-owned gas company, with the first stage of tendering opened on the 27th of February this year.

The three companies tendering for the assessment are EC Baker Tilly Ukraine, Duff Phelps End and Ernst and Young. A fourth bidder, Thomas & Simon, was rejected for the tender as it did not fulfil the submission bid conditions or provide proof of its experience, Naftogaz said today.

Once a successful bidder is chosen, the assessment of the gas transport system could be completed by this summer, the Deputy CEO said.

"I think that this assessment will be done by July," he told an assembly of reporters.

The estimate correlates with the date expected for the commencement of the first stage of the project posited by EU Commissioner for Energy Guenther Oettinger last week at a meeting with Ukrainian Energy Minister Yuriy Boiko last week.

"We have analysed the situation, including at the level of expert advice, and approved a decision that the European Bank for Reconstruction and Development, the European Investment Bank and other participants will join the first project [of the Ukrainian GTS] at the latest by June-July this year," he said.

Mr. Chuprun also said today that Ukraine was waiting for clarification of the EU's plans for the South Stream project, a massive pipeline project which would impact upon the use of Ukraine's gas transport system for gas transit from Russia.

"The only thing we lack is an official statement [from the European Union] about what to do with South Stream," he said.