Frontera Resources Corporation (AIM:FRR), an independent international oil and gas exploration and production company, today announces that on 13 July 2015 it signed a strategic Memorandum of Understanding (“MOU”) with Ukraine’s national energy company, National Joint Stock Company Naftogaz of Ukraine.
The MOU 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 (LNG) 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. These natural gas resources were recently announced by Frontera earlier this year and confirmed in reports by the U.S.-based independent consulting firm of Netherland, Sewell & Associates.
The MOU was executed by Andriy Kobolyev, Chairman and Chief Executive Officer of Naftogaz of Ukraine, and Steve C. Nicandros, Chairman and Chief Executive Officer of Frontera. The signing took place in Washington, D.C. during the first U.S.-Ukraine Business Forum, hosted by the U.S. Chamber of Commerce in collaboration with the U.S. Department of Commerce.
Steve C. Nicandros, Chairman and Chief Executive Officer, commented:
“We are very pleased to continue to advance our initiatives in Ukraine and, in particular, our relationship with Naftogaz. This important MOU reflects Frontera’s ongoing focus to progress its Greater Black Sea Strategy by pursuing new growth throughout a region that contains significant underdeveloped and under-explored oil and gas potential.
Moreover, in conjunction with the significant natural gas resources that our ongoing operations in Georgia have identified, I strongly believe that our closer work with Naftogaz will open avenues to strategically supply Ukraine with LNG from across the Black Sea. This will serve to diversify the country’s supply of natural gas and, by doing so, bring Georgia to the forefront as a strategic supplier of natural gas to Europe.”