The Naftogaz group is ready to buy the entire volume of gas that Ukrainian private producers will offer to the market in 2024, its CEO Oleksiy Chernyshov said.

"We understand that production needs investment. Therefore, you need to sell your gas at a competitive price. We are ready to buy it," said Chernyshov, whose words are quoted in a Naftogaz release on the website following a meeting with representatives of Ukrainian mining companies in Kyiv on Friday.

According to him, in conditions of war and constant enemy attacks, it is critical for Ukraine to maintain energy independence and increase its own production, and Naftogaz is doing everything for this, in particular, last year it managed to significantly increase production volumes.

"But the overall result depends on all companies currently operating in Ukraine," the head of Naftogaz said.

He noted that, like last year, the company plans to do everything in a transparent way – through the mechanisms of the Ukrainian Energy Exchange.

According to Director General of the Ukrainian private gas production company Geo-Alliance Liudmyla Kuchmenko, cited in the release, last year cooperation with Naftogaz demonstrated its effectiveness, and all processes took place transparently and clearly, payments were received on time.

According to the press release, in addition to plans for cooperation for 2024, they also discussed the conditions that the state should create to support Ukrainian production, in particular, the timely and transparent receipt of licenses for production and other procedural issues.

"What is happening today with Ukrnaftoburinnya is a very negative factor for the Ukrainian energy sector. Because of this, the country annually loses about half a billion cubic meters of gas, which could make us stronger and more resilient in war conditions," said Chernyshov.

On November 28, 2023, the Sixth Administrative Court of Appeal overturned the order of the State Service of Geology and Subsoil and canceled license No. 6349 dated July 10, 2019, in accordance with which Ukrnaftoburinnya carried out production at the Sakhalynske field. The company stopped operation of the field on December 1, 2023.

From stopping natural gas production at the Sakhalynske field, the state monthly loses UAH 190 million in royalty, UAH 130 million in VAT and about UAH 80 million in income tax.