January 17, 2017 at the platform of CE "Ukrainian Energy Exchange" was held the first trading of natural gas resource February 2017, put up for trading by JV "Poltava Petroleum Company" (JV "PPC"), a stockholder of which is English JKX Oil&Gas. On the debut trading turned up 12 members who compete for the exposed resource.
Participants were offered a resource with delivery in February 2017. For the convenience of participants and to improve effectiveness of sale the entire volume was divided into lots of 100 thousand cubic meters of natural gas at a starting price 7 500,00 UAH VAT, during the trading the seller in addition put another 100 thousand cubic meters to meet the demand of buyers.
During the bidding were sold 1.1 million cubic meters with an average increase of 12.3%, which accounted for almost 100 steps. Thus, the average selling price was 8 423,64 UAH/ thousand cub.m.
"This is a landmark event for us, because today on our exchange is an inception of exchange-traded natural gas market in Ukraine, making us one step closer to energy independence and creation of a gas hub of European level, and the price of gas is transparent. Today’s trading proved that we can and should develop inner tools of market pricing of natural gas, creating a market environment and market conditions within the country", - commented on the results of bidding CEO of Ukrainian Energy Exchange Oleksandr Kovalenko.
"Trading held today have demonstrated the effectiveness of exchange trade with natural gas in Ukraine, as the entire resource was sold at prices on the level of import parity, parity in relation to the prices of the largest European hubs such as TTF, NCG and GasPool"– said Deputy Chairman of the Exchange Committee of UEEX Oleksii Lastovets.
We welcome the initiative of PPC management regarding the implementation of the exchange mechanism for sale of own products which is certainly the most transparent and effective method of sales that already allowed the company to obtain additional income of nearly million UAH on the first trading – added Oleksandr Kovalenko.