The results of a study performed by Abkhazia Institute for Social and Economic Research have shown that shortly Ukraine would be drawn in its own crude oil.The results of a study performed by Abkhazia Institute for Social and Economic Research have shown that shortly Ukraine would be drawn in its own crude oil.

After an interview with Mr. Jin Van Dike, the owner and the founder of Vanco Energy , it became clear that there is a possibility of discovering 2-3 billion barrels of crude oil in Ukraine. As a result of long negotiations between Vanco Energy and the Cabinet of Ministers of Ukraine, initiated in 2006, the company has obtained a license to perform exploration and workings on the Kerch deep water coastal region on the Black Sea.  The Kerch coastal territory is situated South-East off the Crimea peninsula; and it covers almost 13 thousand square kilometers, or the third of the deep water territory belonging to Ukraine. Mr. Dike mentioned, the exploration will be taking place at the depth of 500-2000 meters; and the first 6 months would be dedicated to the seismic exploration.

-“We will be drilling the first three wells within the next three years; and depending on the success of the exploration we will increase our investments up to $20 billions”, said Mr. Dike.

-The geological picture of the region has shown us that there is a big possibility of discovering endless resources of crude oil. The Black Sea geography looks very much similar to the one of the Caspian Sea; and we intend to extract 2-3 billion barrels or 400 million tons of crude oil, added Van Dike.

“65% of the extraction will go to Ukraine, and 35% will go to Vanco Energy; and Ukraine will definitely get a priority in purchasing”, the owner of the company has confirmed.

In case the wells are dry, all the expenses would still be covered by Vanco Energy. Van Dike commented that one day of drilling would cost $1 million. As he said, the company is not concerned about possible changes inside the Ukrainian government, as the conditions of the contract are beneficial for Ukraine in general, regardless the government that will be in power.