The constituent meeting was held on July 12, 2017, at the office of the Delegation of the European Union to Ukraine, according to NJSC Naftogaz of Ukraine.

The project will be implemented by a consortium comprising one of the world's leading management consulting firms, Storengy, a French operator of the UGS and CMS Cameron McKenna Nabarro Olswang, an international law firm.

The project is funded by the European Union and aims at developing a sustainable economic approach to the use of Ukrainian underground gas storage facilities in the context of the European and Ukrainian energy markets.

Representatives of Ukrtransgaz PJSC, the Ministry of Energy and Coal Industry, the Ministry of Economic Development and Trade, Energy Community Secretariat, Trunk Gas Pipelines of Ukraine PJSC and international consultants selected by the EU took part in the constituent meeting.

The study envisages forecasting the demand for gas storage services for the next 20 years and the study of Ukraine's potential in the market for underground gas storage facilities. Based on the results obtained, several strategic scenarios for optimal use of Ukrainian UGS facilities will be developed.

The project team will analyze whether some of the existing gas storage facilities are necessary for efficient operation of the Ukrainian gas transportation system. Therefore, this project is important for the implementation of the Law of Ukraine "On the Natural Gas Market" and the fulfillment of Ukraine's obligations to separate gas transportation functions from Naftogaz.

Storengy, one of the leading gas storage operators in the world, will perform a technical audit of each facility. After analyzing the initial data, the team will visit the storage facilities and prepare a detailed technical assessment.

CMS Cameron McKenna Nabarro Olswang will analyze the current legislative framework and its compliance with the Third Energy Package and other EU standards. Advising the majority of gas suppliers from the EU operating in Ukraine, the company is well aware of the existing legislative restrictions and obstacles to the wider use of Ukrainian UGS facilities. The legal part of the study also includes the development of draft laws, by-laws and decisions.

For reference:

Storengy, a subsidiary of ENGIE, has been designing, constructing, and exploiting gas storage facilities for 60 years already. The operator has 21 UGS facilities in France, Germany and the UK with a total capacity of 12.2 billion cubic meters. As an active energy transition partner, Storengy offers its technical expertise to many partners around the world.

CMS Cameron Nabarro Olswang, an international law firm with headquarters in London, the United Kingdom, provides services to a variety of industries, especially to the energy sector. The company is a member of CMS law firms and has 71 offices in 40 countries worldwide.