JSC Ukrgazvydobuvannia in January-May 2018 increased gas production by 1% or 0.063 billion cubic meters (bcm) year-over-year, to 6.288 bcm, the company’s press service reported last week. The press service said that this production volume in the first five months of the year was reached for the first time since 2014. “For the fourth consecutive month, the company has been increasing daily gas production within the limits of 1 million cubic meters due to all types of operational activity, but since the existing resource base of the company is almost 70% depleted, the natural decline exceeds the growth. The non-issue of new licenses hinders the development of the new resource base of Ukrgazvydobuvannia,” the head of the company, Oleh Prokhorenko, said.
At the same time, he said that the company from the end of this month overcame the May negative factor and moved to the actual increase in daily production compared to last year.
The press service said that in the third and fourth quarters of 2018, Ukrgazvydobuvannia plans to launch new technological capacities: eight booster compressor stations, an increase of up to 50 tools for work-out of wells of external contractors, ten coiled tubing and nitrogen units, and the launch of new wells of external drilling contractors.
Ukrgazvydobuvannia, which is wholly owned by NSJC Naftogaz Ukrainy, is a large gas processing company, which accounts for about 75% of total gas output in the country.
Revenue of Ukraine’s national budget in May 2018 totaled UAH 96.85 billion, which is UAH 2.99 billion or 3.2% more than the target, the State Treasury Service of Ukraine reported on its website last week. According to the authority, revenue grew by UAH 30.86 billion or 46.8% compared with May 2017, which is mainly linked to sending UAH 17 billion to the budget by the National Bank of Ukraine (NBU) compared with UAH 5 billion in May 2017.
Revenue of the general fund was UAH 88.78 billion last month, which is 2.4% more of the target and 43.3% more than a year ago.
In January-May 2018, revenue of the national budget came to UAH 369.7 billion. The target was met by 99.4% compared with 98.2% in January-April 2018. Revenue grew by 13.5% compared with January-May 2017.
Revenue of the general fund in January-May 2018 totaled UAH 337.66 billion, which is 1% less than the target and 22.7% more than a year ago.
According to the materials of the State Treasury Service, tax revenue in January-May 2018 brought UAH 164.51 billion to the budget, which is UAH 0.09 billion or 0.1% less than the target, while customs revenue accounted for UAH 125.65 billion, being UAH 3.59 billion or 2.8% less than the target. Tax revenue grew by 16.2% year-over-year and customs revenue – by 9.6%.
In May, tax revenue reached UAH 42.96 billion, which is 2.7% more than the target and 33.8% more than in May 2017. Customs revenue was 4.3% more than the target – UAH 26.56 billion, which was 12.5% more than a year ago.
In general, the May target of the State Fiscal Service met the target by 103.3%. Revenue totaled UAH 69.52 billion, which his UAH 13.79 billion or 24.7% more than in May 2017.
In January-May 2018, VAT was refunded for the amount of UAH 54.8 billion, which is 14.4% more than in January-May 2017. In May, UAH 11.2 billion was refunded compared with UAH 9.95 billion in April 2018 and UAH 9.86 billion in May 2017.
Revenue of local budgets in May 2018 totaled UAH 21.43 billion, which is 17.5% more than a year ago, and in January-May 2018 local budget saw UAH 93.99 billion in revenue, which was 17.6% more year-over-year.
Single social security tax payments in May 2018 grew by 31% year-over-year, to UAH 18.21 billion, and in January-May 2018 – by 28.1%, to UAH 86.6 billion.
Metinvest, the largest mining and metal holding in Ukraine, in 2017 was 42nd in the list of the largest global steel manufacturers with the volume of 9.59 million tonnes compared with the 37th position in 2016 with the volume of 10.34 million tonnes, the 40th position in 2015 with 9.65 million tonnes and 33rd position in 2014 with 11.18 million tonnes.
According to the World Steel Association (Worldsteel), last year ArcelorMittal with 97.03 million tonnes of smelted steel was first in the 2018 edition of World Steel in Figures.
It is followed by China Baowu Group with 65.39 million tonnes, NSSMC (includes Nippon Steel & Sumikin Stainless Steel Corporation, with 100% of shares, and Nisshin Steel (51%), USIMINAS (31.2%) with 47.36 million tonnes.
The editions of World Steel in Figures of 2018, 2017, 2016 and 2015 did not contain other Ukrainian companies, apart from Metinvest. Industrial Union of Donbas (ISD), which was 44th in 2013 was not included in the next editions.
Worldsteel said that in 2017, Ukraine produced 21.3 million tonnes of steel and was 12th. Apparent steel use was 4.5 million and apparent steel use per capita was 101.5 kg.
Ukraine exported 15.2 million tonnes of steel products, being 12th in the global rating, while China was first and Russia was fourth.
Ukraine was fourth in net exports of steel in the world with 13.8 million tonnes (16.9 million tonnes in 2016, fourth). China was first with 60.9 tonnes and Japan was second with 31.2 million tonnes.
Ukrainian metallurgical enterprises are seriously concerned about the changing situation in the world metal products markets in connection with the United States’ introducing 25% duties on steel imports, in particular, from the European Union. President of the Ukrmetalurgprom Association Oleksandr Kalenkov told Interfax-Ukraine the decision was expected, but it carries significant risks for Ukrainian steel products, especially in the context of duties with regard to the EU.
“If steel supplies to the United States from Ukraine make up 1.3%, then to the EU more than 30%. Moreover, a few weeks ago Turkey also announced a protective investigation after the introduction of protective measures by the U.S.,” the agency said.
At the same time, the head of the association noted that the markets of the EU and Turkey are priority for the supply of Ukrainian steel products.
“More than half of total exports of Ukrainian steel products worth over $5 billion fall under the risks of protective measures of the EU and Turkey,” Kalenkov said.
Dniprovsky Metallurgical Plant, in turn, told the agency at present there are no changes in the sale of metal products
Ukrainian President Petro Poroshenko has said that the diversification of sources of gas supplies to Ukraine is a matter of national security. “Therefore, we are currently holding talks with Qatar’s leadership on supplies of Qatari liquefied natural gas. I want to congratulate you and say that Qatar can become an exporter of gas to our country, Ukraine. The gas can be supplied through the already operating regasification terminal in Poland. Ukraine can really get Qatari gas,” Poroshenko said in an interview with Qatari broadcaster Al Jazeera.
At the same time, according to the Ukrainian president, this is only the first step. “We agreed with our Qatari partners to invite our friends from Turkey to cooperation. We received their assurances of the possibility of implementing a project for the supply of Qatari natural gas directly through Turkey, and not only through Poland. We will be very happy to open our doors to Qatari companies so that they come to the Ukrainian energy market, it would be very important. I believe that the implementation of such a project would contribute to strengthening the energy security of my country,” Poroshenko said.
He also said that Ukraine annually exports $8 billion worth of goods to the Arab states, so cooperation with them occupies an important place in Ukraine’s economic strategy and foreign policy.
“Therefore, Ukraine seeks to acquire observer status in the Organization of Islamic Cooperation. We enjoy the full support of our friendly Arab countries in order to obtain observer status in this organization. We expect and hope that we will eventually get such membership,” Poroshenko said.
Imports of fresh strawberry over the last six years decreased by 88%, from 1,286 tonnes in 2012 to 153 tonnes in 2017, according to a press release from the Ukrainian Agribusiness Club. “The experience of work of Ukrainians, mainly in Polish fields, made it possible to understand that Ukraine can fully meet the growing demand for strawberries in the domestic market, which was confirmed in practice. Over the past six years imports of fresh strawberry fell by 88% from 1,286 tonnes in 2012 to 153 tonnes in 2017. At the same time, exports rose by 90% from 184 tonnes to 1,799 tonnes respectively,” the report said.
In 2013 the maximum volumes of strawberry consumption were recorded, while in the following years the market was slowly declining. The recovery of the growing trend in the strawberry market took place in 2017, when the growth rate of consumer demand compared to the previous year was estimated at 11%. The main world producer of garden strawberries is Poland. According to the association, it grows about 200,000 tonnes of industrial strawberries, which is three times more than the volumes grown in Ukraine.
