Oil and gas auction without competition: why the Veneslavivska plot in Poltava region failed to find a buyer for the third time
15 January 17:24
The third attempt to sell the Veneslavivska oil and gas field in the Poltava region has once again ended in failure. The auction, which was scheduled to take place on January 15 on the Prozorro.Prozori platform, did not take place due to a lack of competition—only one participant submitted a bid.
This was reported by the industry publication ExPro, according to "Komersant Ukrainian".
What happened at the auction
The only company that submitted a bid was Gaz-MDS LLC, part of businessman Oleksandr Katsuba’s Nadra-Geoinvest group. The company offered UAH 24.55 million excluding VAT, with a starting price of UAH 20.56 million.
However, according to the auction rules, the sale of a special permit is not possible if there is only one participant, so the auction was declared invalid.
Third unsuccessful attempt
This is already the third unsuccessful auction for the sale of the Venenislavivska plot. Previous bids also failed to attract market interest:
- On December 11, the plot was put up for auction with a starting price of UAH 41.1 million — without a single bid;
- On December 30, the starting price was reduced to UAH 30.84 million, but again there was no demand;
- On January 15, the price was lowered to UAH 20.56 million, but there was still no competition.
Where is the plot located and who is the initiator
The Veneslavivska oil and gas plot is located in the Myrhorod district of the Poltava region. Its area is 47.6 square kilometers. The initiator of the auction was Naftakhimgroup LLC.
According to ExPro’s assessment, the State Service of Geology and Subsoil of Ukraine will likely put the plot up for auction again, with another reduction in the starting price.
The situation with the Venislavivska area contrasts with other examples on the market.
On December 3, after six attempts, the State Geological Service finally sold a 20-year special permit for the use of the Lyubynets oil and gas field in the Lviv region — the winner was also Gaz-MDS LLC.
The government declares its intention to revive the industry: in 2026, Ukraine plans to resume geological exploration with the involvement of international partners.
In addition, the US-Ukrainian investment fund for reconstruction is expected to reach about $200 million by the end of 2026, and with co-financing, hundreds of millions more could flow into the economy.
