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Shell stops shale gas production in Eastern Ukraine

Screen Shot 2014-02-10 at 16.29.29By John Donovan

Royal Dutch Shell says that it has suspended shale gas production in eastern Ukraine due to security concerns. 

A Shell spokesperson said:

“Currently we are not conducting drilling in eastern Ukraine. The security situation is such that we are not able to carry out certain activities scheduled by the shale gas production agreement for reasons beyond our control. Hence, we took a step specified in the contract to announce force majeure regarding certain obligations set in the agreement on gas production at the Yuzivka field. Shell’s interests in shale gas production in Ukraine remain the same, and we will continue to execute all kinds of operations that we can carry out safely.” 

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