EBRD starts procurement of gas power plants under agreements with Ukrnafta

The European Bank for Reconstruction and Development (EBRD) has started the procurement procedures for gas power plants under a loan and donor agreement with PJSC Ukrnafta on its own electronic platform, the company's director Serhiy Koretsky reported on Facebook.

According to him, the open tender will be held in one stage, applications from suppliers are accepted until January 27, 2025.

The first purchase has been announced for the supply of gas piston power plants and cogeneration units for three facilities with a total installed electrical capacity of about 70 MW.

The second purchase has been announced for the supply of power plants with gas engines in containers with a total capacity of about 56 MW. These are modular units that can be moved depending on needs.

In both cases, the main auxiliary equipment and related services are purchased.

After the equipment is purchased, the procedures for purchasing the services of contractors who will carry out all the necessary construction and installation work will begin.

"In the context of constant Russian attacks on the Ukrainian energy system, new generating capacities will become an important element in ensuring energy sustainability. The project is financed by an EBRD loan, co-financed by attracting investment grants from the Netherlands, the USA and Norway, as well as a special technical cooperation grant," Koretsky noted.

As reported, Ukrnafta and the EBRD signed a loan agreement for EUR 80 million in early December 2024, aimed at the supply and installation of gas-fired distributed power plants and cogeneration capacities in various regions of Ukraine.

In addition, the EBRD loan will be co-financed by investment grants of EUR 9.5 million from the Netherlands and EUR 12.5 million from the USA, which will be directed through a special EBRD fund, as well as a technical support grant of EUR 1.8 million from other donors.

Ukrnafta is Ukraine's largest oil extraction company and operates a national network of filling stations. In March 2024, the company took over the management of Glusco assets, and now operates 547 filling stations – 462 of its own and 85 under management.

The company is implementing a comprehensive program to renew operations and modernize the format of its filling stations. Since February 2023, Ukrnafta has been offering its own fuel vouchers and NAFTA Cards, which are sold to both legal entities and individuals through Ukrnafta-Postach LLC.

Ukrnafta holds 92 licenses for industrial development of deposits. It has 1,832 oil and 154 gas production wells on its balance.

The largest shareholder in Ukrnafta is Naftogaz Ukrainy, which holds a 50% plus one share. In November 2022, the General Staff of the Armed Forces of Ukraine decided to transfer the corporate rights of the company, previously owned by private shareholders, to the state. The Ministry of Defense now oversees these shares.