Ukraine's Naftogaz considers buying gas-turbine compressors from Siemens

By Reuters News

KYIV, Oct 5 (Reuters) - Ukraine's state oil and gas company Naftogaz is considering buying five gas-turbine compressor units from Germany's Siemens Energy ENR1n.DE, its energy ministry said on Monday, after the companies signed an agreement to expand cooperation on energy.

The talks took place on Sunday during a visit to Ukraine by German Chancellor Friedrich Merz and a delegation of German companies.

According to a memorandum of understanding signed that day, Siemens and Naftogaz will cooperate on energy security and infrastructure protection, the modernization of underground gas storage facilities, and technical aspects of power generation.

German officials said executives from companies who travelled with Merz had signed 14 agreements with the Ukrainian government and businesses worth roughly €6.6 billion ($7.39 billion).

Ukrainian officials have repeatedly said that Russia has intensified attacks on Ukraine's energy and gas infrastructure in an effort to leave the population without electricity and heating ahead of the winter cold.

Industry sources say Russia has been targeting Ukrainian gas fields, pipeline compressors, and gas treatment and processing equipment.

Neither Naftogaz nor the ministry disclosed the potential contract's value or delivery dates for the equipment.

The ministry also reported talks on using 12 Siemens Energy gas turbine units in Ukraine for distributed power generation, but gave no more details.

($1 = 0.8929 euros)

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.