JKX starts LPG shipments from its own Ukrainian plant in July
KYIV. Sept 22 (Interfax) - British oil and gas company JKX OilGas (JKX), which has assets in Ukraine and Russia, started shipping liquefied petroleum gas (LPG) (commercial butane propane mix) from its own plant in the Poltava region, Viktor Khrulenko, the head of the company's Ukrainian subsidiary and liquefied natural gas seller, LLC PGMK, said during the Second International Conference LPG Ukraine 2011 organized by Kyiv-based consulting company A-95.
He said that the enterprise's design capacity comes to 140 tonnes of production a day but is only now producing around 65 tonnes.
"We process all of our gas. We will produce more. LPG output will go up," Khrulenko said.
He said that the Poltava enterprise has no plans to purchase raw materials for processing from other companies.
The enterprise's output is sold through electronic competitive bidding, which is held every day.
Investment in the plant's construction came to over $10 million.
The enterprise is installed with Canadian Propak Systems production equipment.
JKX posted $21.16 million in net profit for 2010, which was a 75% decrease from 2009. The company's revenue in 2010 went down by 1.8% to $192.88 million and operational profit - 20% to $95 million.
The company's told production last year went down by 11% to 10,324 barrels of oil equivalent a day because of an unexpected delay with the startup of the second drilling unit at the licensed section Ukraine's Poltava region. However, an increase in natural gas prices allowed the company to compensate its production decrease in revenue results.