Media outlook in December 2006 | |||
Soviet standards
Introduction of new standards of gasoline quality, manufactured by the domestic oil refineries could cause reduction of oil processing amount. There is only one way-out for the owners of the enterprises – to invest in modernization of the production. Should this not happen, the experts believe that by 2008 only two of six existing today oil refineries will remain. The first company which announced about its readiness to launch production of the oil products complying with the European requirements was TNK-BP. According to the company’s announcement in 2007 the Lisichansk Oil Refinery will launch production of the aviation kerosene and gasoline using the international standards. Besides, next year the oil refinery will start production of fuel, complying with the ecology standard "Euro-4". TNK-BP intends to get closer to Euro-5 standards by the beginning of 2008. However, the Russian-British company intends to manufacture high quality fuel only for export, and is not going to sell it to the Ukrainian consumers. All this is foreseen by the program of modernization of the Lisichansk oil refinery up to the end of 2012. According to the preliminary estimates the amount of investments for realization of the company's plan will exceed $300 million The experts believe that most likely the remaining Ukrainian oil refineries will not be able to hold out in the fight for the consumers.
Source: Ukrainian Investment Newspaper