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Ukrnafta to Drill 25 New Oil Wells by End of 2025, Ramping Up Production and Modernization

by Roman Cheplyk
Friday, November 7, 2025
3 MIN
Ukrnafta to Drill 25 New Oil Wells by End of 2025, Ramping Up Production and Modernization

The state-managed company has moved from 1–2 wells a year to industrial-scale drilling and is also entering electricity generation

JSC Ukrnafta plans to complete drilling of 25 new wells and start work on 7 more by the end of 2025 — this is several times more than before the full-scale war, when the company was drilling literally one or two wells a year. Acting CEO Yuriy Tkachuk says that the new wells already give about 30% of the company’s additional output, and this pace will continue to grow in 2026.

What the company is doing now

Ukrnafta is not just drilling more — it’s rebuilding the entire production chain:

  • Switch to modern equipment. Old Soviet-era units are being replaced with equipment that meets American Petroleum Institute (API) standards.

  • Production intensification. The company uses classic and acid hydraulic fracturing, flow diversion and other methods to “wake up” old wells and increase flow rates.

  • Infrastructure renewal. Every year about 130 km of field pipelines are repaired — this reduces losses and accidents.

  • Fleet update. After the transition to state management, more than 700 units of special equipment were updated — roughly half of what is needed for stable work on wells and repairs.

According to Tkachuk, this complex approach — not just drilling, but also intensification and repairs — is what gives fast, visible growth in production.

Why it matters now

Ukraine needs more of its own hydrocarbons — both because of the war and because of Russian strikes on energy facilities. Every extra ton of oil and every cubic meter of gas means fewer imports and less pressure on the budget.

That’s why, in parallel, the energy sector is looking for external gas: Naftogaz and Poland’s Orlen have already agreed on additional supplies of up to 300 million cubic meters of US LNG. This is a safety cushion in case Russian attacks temporarily reduce domestic production.

New direction — electricity

Ukrnafta is also going into power generation. The company is launching gas turbine and gas piston units — this is a way to use its own gas on site and immediately turn it into electricity for the energy system, which is important during winter and after missile strikes.

What’s next

  • 25 wells — to be finished by the end of 2025

  • 7 more — to start drilling

  • 2026 — further increase in drilling rates

So, for the first time in years, Ukrnafta is acting not as a company that “maintains” production, but as one that builds it up — with new wells, upgraded infrastructure and its own generation.

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