Institutional Environment for Ensuring the Efficiency of Oil and Gas Production in Ukraine

Abstract

Abstract. The study is devoted to the substantiation of the institutional foundations for ensuring the economic efficiency of Ukraine's oil and gas production in the face of military challenges, transformation of energy markets and integration into the European energy space. The purpose of the work is to determine the impact of institutional factors on the investment attractiveness of deposits, the effectiveness of reserves development and the financial indicators of investment projects. The methodological basis is systemic, institutional and economic-analytical approaches using comparative analysis of international experience, structural and logical modeling and generalization of practices of state regulation of the resource sector. The information base was analytical materials of international organizations, regulations of Ukraine, corporate reports of energy companies and scientific publications on energy asset management. It has been established that the key barriers to the development of oil and gas production remain the complexity of permitting procedures, fiscal instability, limited access to digital geological data, and a high level of war risks, which increase the cost of capital and hinder the modernization of production. The existence of a direct relationship between the quality of the institutional environment and the effectiveness of the implementation of investment projects through NPV, IRR and WACC indicators has been proved. A conceptual model of institutional provision of production efficiency is proposed, combining state regulation, risk insurance, SmartField digital technologies, ESG-oriented management and partnership with international financial institutions. The need for digitalization of geological information, the introduction of " fast-track" procedures for strategic areas and guarantees of stability of tax conditions is substantiated. The implementation of the proposed approaches will contribute to reducing non-technical risks, increasing investment activity, technological renewal of the industry and strengthening the energy security of the state in the post-war period.