Business news from Ukraine

“Ukrnafta” launches black high-capacity drilling rig in Ukraine’s West

PJSC “Ukrnafta” has launched a black high-development well in Ukraine’s West, the company’s press-service announced on Tuesday.

According to its data, the result more than doubled the forecasted one: the well flow rate is 54 tons per day with the expected 22.6 tons.

The object was planned as an exploratory well with the purpose of discovering deposits of stratigraphic deposits at a depth of more than 1.2 km. The drilling works were performed by Navigator-Komplekt LLC selected through a tender on Prozorro. This is the first of three wells to be constructed by this contractor.

“Ukrnafta” received a high-yield well and, more importantly, a technology to increase production at a particular field. Acid fracturing (AHF) is included in the investment projects for the construction of all wells at this field,” said the company’s director Serhiy Koretskyy.

As reported, Ukrnafta in 2023 increased production of oil with condensate by 3% (by 39.9 thousand tons) compared to 2022 – to 1 million 409.9 thousand tons, gas – by 5.8% (by 60.4 million cubic meters), to 1 billion 97.4 million cubic meters.

The company’s strategic goal is to double its oil and natural gas production to 3 million tons and 2 billion cubic meters respectively by 2027.

“Ukrnafta, Ukraine’s largest oil producer, is the operator of a national network of 537 gas stations, of which 456 are operational. The company is implementing a comprehensive program to revitalize its operations and update the format of its network of gas stations. Since February 2023, Ukrnafta has been issuing its own fuel coupons and NAFTACard, sold to legal entities and individuals through Ukrnafta-Postach LLC.

Ukrnafta’s largest shareholder is Naftogaz of Ukraine with a 50%+1 share stake. On November 5, 2022, the Supreme Commander-in-Chief of the Ukrainian Armed Forces decided to transfer to the state the share of corporate rights of the company owned by private owners, which is now managed by the Ministry of Defense.

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State budget received UAH 616 mln from tourism industry

Representatives of the tourism industry paid UAH 616 million 391 thousand to the budget in the first quarter of 2024, which is 61% more than in the same period of 2023, when the budget received UAH 383 million 221 thousand, the press service of the State Agency for Tourism Development (DART) reports.

At the same time, they clarify that before the full-scale invasion in 2021, the state budget received UAH 629 million 135 thousand.

“The budget revenues for the first quarter of this year clearly demonstrate that tourism has not only adapted to the difficult working conditions during martial law, but is also developing, creating jobs and supporting local communities. Taxes from the tourism industry are an important part of the economy that is now working to support our army,” said DART Head Mariana Oleskiv, quoted in a press release.

The agency noted that in January-March, the total number of taxpayers engaged in tourism activities increased by 19% compared to the first quarter a year earlier. The number of legal entities increased by 6%, and individuals by 24%.

The largest share of state budget revenues (64%) was paid by hotels – UAH 395 million 194 thousand. This is 69% more than in the same period in 2023 (UAH 233 million 693 thousand) and 32% more than in the same period in 2022 (UAH 299 million 782 thousand). In the pre-war year of 2021, in January-March, the treasury received almost the same amount from hotels – UAH 394 million 576 thousand.

Tax revenues from the activities of tour operators have doubled – UAH 88 million 727 thousand compared to UAH 44 million 854 thousand for the same period last year. In 2021, the state treasury received UAH 47 million from tour operators.

In addition, tax revenues from the activities of travel agencies also increased – UAH 50 million 330 thousand compared to UAH 33 million 844 thousand for the same period in 2023 and UAH 46 million 238 thousand in January-March 2021).

In 2024, the share of tax paid by tourist centers and children’s recreation camps increased by 41%. In the first quarter, the budget received UAH 36 million 180 thousand of tax from these accommodation facilities, compared to UAH 25 million 653 thousand in the first three months of last year. However, compared to the same period in 2021, tax revenues fell by 70% from UAH 119 million 183 thousand.

There was an increase in taxes paid from campsites and parking lots for residential caravans – UAH 704 thousand against UAH 499 thousand. Although compared to 2021, taxes from these accommodation facilities are halved, the budget received UAH 1 million 535 thousand.

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Quotes of interbank currency market of Ukraine (UAH for €1, in 01.03.2024-31.03.2024)

Quotes of interbank currency market of Ukraine (UAH for €1, in 01.03.2024-31.03.2024)

Source: Open4Business.com.ua and experts.news

Quotes of interbank currency market of Ukraine (UAH for $1, in 01.03.2024-31.03.2024)

Quotes of interbank currency market of Ukraine (UAH for $1, in 01.03.2024-31.03.2024)

Source: Open4Business.com.ua and experts.news

 

Spain recognizes Palestine on 1967 borders

The Spanish government on Tuesday called for the recognition of the state of Palestine within the 1967 borders, according to the Spanish TV channel RTVE.

“Spain will join more than 140 countries that have already recognized Palestine as a state. This is a historic decision whose sole purpose is to contribute to peace between Israelis and Palestinians,” Spanish Prime Minister Pedro Sanchez said at a press conference following the government meeting. The press conference was broadcast by the Spanish TV channel RTVE.

He noted that “it is not directed against anyone, especially Israel”. According to Sanchez, Madrid recognizes Palestine within the 1967 borders. He specified that he hopes for the creation of a Palestine that includes the West Bank and Gaza Strip with its capital in East Jerusalem, governed by the Palestinian National Authority.

Spain recognized Palestine, along with Ireland and Norway, which sparked a serious political crisis in relations with Israel.

After it became known about the decision of these three countries to recognize the independence of the Palestinian state, the Israeli Foreign Ministry announced the recall of ambassadors to Spain, Ireland and Norway for consultations and threatened these countries with “serious consequences.” The ambassadors of these countries were summoned to the Israeli Foreign Ministry.

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Cabinet of Ministers of Ukraine has banned all types of advertising of gambling business

The Cabinet of Ministers of Ukraine has banned all types of advertising of gambling business, follows from the government decree № 583.

Thus, amendments were made to paragraph 1 of the Cabinet of Ministers Resolution No. 566 of May 17, 2024 “Some issues of counteraction to the negative consequences of the functioning of gambling on the Internet”.

“Subparagraph one after the words ‘order of restriction’ is supplemented with the words ‘of all forms’, and after the words ‘by restriction’ – with the words ‘namely a ban’, – stated in the resolution.

According to the document, the ban will be in force until the entry into force of the law on combating game addiction, which is now under consideration by the Verkhovna Rada.

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