Oil and Gas

EBRD considers $100 mln gas loan to Ukraine's Naftogaz

KIEV, Aug 1 (Reuters) - The European Bank for Reconstruction and Development is considering a $100 million loan to Ukraine’s state energy firm Naftogaz to buy natural gas for winter, the bank said on Wednesday.

The bank, in a project description published on its website, refers to the possible “provision of up to $100 million debt funding as part of a natural gas purchase revolving loan facility of up to $250 million”.

It said the facility, if approved, would be arranged by Goldman Sachs and supported by the U.S. Overseas Private Investment Corporation.

The loan could be approved in early September.

Ukraine, which used to meet its gas needs with imports from Russia, has not bought gas directly from that country since November 2015, importing instead from Europe.

The government said last week Ukraine was due to accumulate at least 17 billion cubic meters (bcm) of gas in storage for winter.

Ukraine, which consumed 32.2 bcm of gas in 2017 and imported 14.1 bcm, had around 12.8 bcm of gas in storage as of July 30. (Reporting by Pavel Polityuk; Editing by Dale Hudson)