The Odessa regional division of the State Agency for Land Resources has permitted the state enterprise LNG Terminal National Project to prepare a draft document on permanent allocation of a land plot for construction, operation, and maintenance facilities under a national project for construction of an LNG terminal. The Interfax Ukraine news agency reported this, citing the press service of the agency’s Odessa regional division.

The LNG terminal will occupy approximately 13.5 hectares of land. The land is located outside the village of Sychavska (Kominternivsky district of the Odessa region).

"The main division of the State Agency for Land Resources in the Odessa region has instructed the agency’s territorial bodies in cities and districts in the region to provide assistance within the scope of their competence and in accordance with the requirements of the applicable legislation during allocation of the land plots needed for implementation of national projects on the territory of the region,” the press service said.

As reported, in September 2013, President of Ukraine Viktor Yanukovych expressed the hope that construction of the LNG terminal would begin in mid-2014.

Ukraine plans to divide the construction of the LNG terminal into two phases. An offshore terminal with a capacity of 5 billion cubic meters of gas per year will be commissioned during the first phase, and an onshore terminal with a capacity of 10 billion cubic meters of gas per year will be built in the second phase.

During the first phase, dredging work will be performed (with EUR 121 million raised by the LNG Terminal National Project state enterprise), a link to a high-pressure gas pipeline will be built (with EUR 113 million from the Ukrtranshaz company), and a leased offshore terminal will be installed. During the second phase, an onshore terminal will be built (with EUR 735 million from a consortium of investors).

The project provides for construction of the LNG terminal near Yuzhny (Odessa region), close to Ukrtransnafta company’s oil terminal and the Yuzhny seaport.