Ukraine’s government will soon announce a renewed competition for investors to develop two oil and gas fields in western Ukraine – Svichanska and Mezhyhirska – under the US-Ukraine Reconstruction Fund for joint natural resource extraction.
According to draft Cabinet of Ministers resolutions obtained by Ekonomichna Pravda, the new tenders will replace earlier announcements from April 8, which have since expired. This marks the second attempt to attract investors to the projects, located in the Lviv, Ivano-Frankivsk, and Chernivtsi regions.
Prime Minister Yulia Svyrydenko announced the relaunch on her Telegram channel on Thursday, stating:
“We have also decided to relaunch tenders for hydrocarbon production-sharing agreements at the Mezhyhirya and Svichanska fields. The terms have been updated – granting the US partner the right to purchase production and guaranteeing that no other participants will be offered better conditions. This fulfills provisions of the US-Ukraine agreement to establish a reconstruction investment fund.”
The updated tenders will align with the law, creating a joint US-Ukraine investment fund, which shares both costs and profits from resource extraction equally between the two countries. Under the new terms, the US partner will have priority rights to purchase extracted oil or gas under the agreed conditions.
The Reconstruction Fund, signed in May this year, aims to support Ukraine’s long-term reconstruction and modernization, with operations expected to begin by the end of 2025. Previously, Naftogaz subsidiary Ukrgazvydobuvannya sought approval to invest in the two fields.