There will be no merger of Naftogaz Ukraine and Gazprom, President Viktor Yanukovych said, answering questions at a press conference for central, regional and international media late Friday. 

"We do not plan the merger of Gazprom and Naftogaz Ukraine. We plan participation of Gazprom and Naftogaz Ukraine in joint projects, such as modernization of the Ukrainian gas transportation system, construction of some of its sections, possibly in oil or gas extraction in various places, including in Ukraine. But there have never been plans of the merger as such, and I believe it will never happen," President Yanukovych said. 

The President pointed to the feasibility of restructuring Naftogaz Ukraine. "We are now thinking how to restructure Naftogaz Ukraine, because its current structure is burdensome and does not always work effectively," Viktor Yanukovych said. 

According to the President of Ukraine, the time has come now to make separate companies out of the units of Naftogaz Ukraine in order to ensure their effective development. "They should be allowed to develop individually, and real market mechanisms for their development should be created," he said. According to Viktor Yanukovych, the process should begin with preparing the companies for IPO in order to determine their real value. 

"Once these companies are present at the stock exchanges of the world, we will see how they develop. Maybe it is worth starting with selling 10% of shares of a company and get investment resources. In my opinion, this path will really allow modernizing these enterprises transparently," Viktor Yanukovych said. 

The President said experts are now working in that direction. However, he added, the decision will be made collectively, and only after obtaining the appropriate expert opinions.


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