Baker & McKenzie Advises Cadogan on Exploration and Development of Unconventional Gas in Ukraine
Deal Announcement
19 June 2012
Kyiv, Ukraine, 19 June 2012 – Baker & McKenzie, the leading international law firm, announced it has acted as English and Ukrainian law counsel to Cadogan Petroleum plc, which together with its joint venture partner Ukrainian state-owned National Joint Stock Company NAK Nadra Ukrayny (“Nadra”), has entered into a Share Purchase Agreement with Italian energy giant Eni S.p.A., whereby Eni S.p.A. has acquired a stake in the joint venture of Cadogan and Nadra.
The joint venture holds subsoil rights to nine unconventional (shale) gas license areas totalling approximately 3,800 sq.km of acreage in the Lviv Basin, one of the most prospective basins in Europe. Cadogan will continue to operate and will keep the economic benefit from existing conventional activities under the two of those licenses.
The transaction remains conditional on certain conditions precedent including Ukraine antimonopoly clearance and is expected to be completed within the next quarter.
The Baker & McKenzie team was jointly led by Counsel Olyana Gordiyenko and Partner Svitlana Romanova with the assistance of Associates Zoryana Sozanska and Taras Aleshko. London-based Partner Hugh Stewart and Associates Matthew Martin and Ron Kirschner advised on the English law matters.
Commenting on the transaction, Olyana Gordiyenko said, “We were delighted to have assisted Cadogan on its innovative shale gas M&A deal in Ukraine. It was amazing to see how unincorporated shale gas industry standards adjust themselves to a typical UK law governed M&A transaction with the Ukrainian oil and gas regulatory focus. We hope our solutions will turn into new industry standards for similar transactions in Ukraine.”