Ukraine’s Prime Minster to discuss Ukrnafta production issues with CEO

Ukrainian Prime Minister Mykola Azarov plans to meet with Ukrnafta’s (UX: UNAF UK) CEO Peter Vanhecke to discuss the company’s operations, in particular the need to increase oil and gas production, Interfax reported yesterday, citing Energy Minister Yuriy Boyko. Ukrnafta’s oil output fell by 4.1% y-o-y to 1.3 mln mt in 7M11; production of gas condensate was down 39% y-o-y to 105 ths mt, and gas down 3.7% to 1.3 bln m3. Antonina Davydenko: The Prime Minister’s concern could indicate the company’s new management is not meeting the expectations of its major shareholder, the government. Ukrnafta’s previous management was replaced in February after it was criticized by the Prime Minister, in an attempt to reconcile the feud between major shareholders Privat group and the government.