In future, the annual production of shale gas in Ukraine could reach 5 billion cubic meters, energy expert Yuri Korolchuk said during teleconference "Moscow-Kiev" on "Shale gas: a source of cheap energy or environmental problems?", ForUm correspondent reports.

According to the expert, in October-November, the Shell company will begin drilling the first exploratory wells in Yuzovsk gas-bearing area (Kharkiv and Donetsk region), and industrial production here could begin in the second half of 2013. "However, much will depend on the real cost of shale gas and from the environmental effects of hydraulic fracturing," the analyst said.

He reminded that in addition to shale gas, Ukraine has deposits of other unconventional gas - gas of compacted rocks and coal bed methane. "These reserves may be even more promising to develop than the shale gas is. Thus, the current $ 3 billion Chinese loan could be used to reach similar goals. Moreover, the Shell is interested in developing not only the shale, but other types of unconventional gas. Mining conditions are similar," the expert said.


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