IDEAS home Printed from
   My bibliography  Save this article

Economic, Investment and Legal Paradigm of Shale Gas Development - World Experience and Prospects for Ukraine


  • Andrii Butyrskyi
  • Liudmyla Nikolenko
  • Borys Poliakov
  • Natalya Ivanyuta
  • Lesia Donchak
  • Iryna Butyrska


Nowadays, shale gas is becoming an increasingly promising alternative energy source. Taking into account the significant controversial problems on the issue of shale gas development, its economic efficiency, environmental consequences, the legislative framework, it is necessary to structure and systematize the problems identified, to find optimal solutions, especially for the development of this industry in Ukraine. The hypothesis of the study is the question of whether there is an economic feasibility of extracting shale gas in Ukraine. The purpose of the study is to analyze theoretical, practical, economic, investment and legal aspects of the development of shale gas production in the world and the prospects of Ukraine in this issue. The subject of the study is the economic, legal and environmental factors in the development of the shale gas industry in Ukraine. The methodological basis of the research consists of scientific works on the main aspects of shale gas development in the context of European integration. The economic and environmental aspects of shale gas development in the United States, the European Union and China have been examined. The economic, ecological and legal aspects and prospects of shale gas development in Ukraine on the Yuzivska and Oleska gas fields have been determined. A SWOT analysis of shale gas development prospects in Ukraine has been conducted, and the risks have been identified. It was concluded that the development of shale gas production for Ukraine is ambiguous, there are many contradictions, both economic, environmental and legal.

Suggested Citation

  • Andrii Butyrskyi & Liudmyla Nikolenko & Borys Poliakov & Natalya Ivanyuta & Lesia Donchak & Iryna Butyrska, 2019. "Economic, Investment and Legal Paradigm of Shale Gas Development - World Experience and Prospects for Ukraine," Montenegrin Journal of Economics, Economic Laboratory for Transition Research (ELIT), vol. 15(2), pages 165-179.
  • Handle: RePEc:mje:mjejnl:v:15:y:2019:i:2:165-179

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Kinnaman, Thomas C., 2011. "The economic impact of shale gas extraction: A review of existing studies," Ecological Economics, Elsevier, vol. 70(7), pages 1243-1249, May.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Virginia Di Nino & Ivan Faiella, 2013. "The �new� non-conventional hydrocarbons: the solution to the energy conundrum?," Questioni di Economia e Finanza (Occasional Papers) 205, Bank of Italy, Economic Research and International Relations Area.
    2. Juan C. Surís-Regueiro & José L. Santiago, 2016. "An Input-Output methodological proposal to quantifying socio economic impacts linked to supply shocks," Working Papers 1603, Universidade de Vigo, Departamento de Economía Aplicada.
    3. Burnett, J. Wesley, 2015. "FOREWORD: Unconventional Oil and Gas Development: Economic, Environmental, and Policy Analysis," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 44(2), pages 1-15, August.
    4. Timothy W. Kelsey & Mark D. Partridge & Nancy E. White, 2016. "Unconventional Gas and Oil Development in the United States: Economic Experience and Policy Issues," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 38(2), pages 191-214.
    5. Philip B. Whyman, 2018. "The local economic impact of shale gas extraction," Regional Studies, Taylor & Francis Journals, vol. 52(2), pages 184-196, February.
    6. Tunstall, Thomas, 2015. "Recent Economic and Community Impact of Unconventional Oil and Gas Exploration and Production on South Texas Counties in the Eagle Ford Shale Area," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 45(1).
    7. John D. Graham & John A. Rupp & Olga Schenk, 2015. "Unconventional Gas Development in the USA: Exploring the Risk Perception Issues," Risk Analysis, John Wiley & Sons, vol. 35(10), pages 1770-1788, October.
    8. Mayer, Adam, 2018. "The Fiscal Impacts of Energy: Perspectives from local governments in the Mountain West, USA," Energy Policy, Elsevier, vol. 122(C), pages 186-193.
    9. Susan Amiesa Fubara & Omowumi O. Iledare & Obindah Gershon & Jeremiah Ejemeyovwi, 2019. "Natural Resource Extraction and Economic Performance of the Niger Delta Region in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 9(4), pages 188-193.
    10. Gourley, Patrick & Madonia, Greg, 2018. "Resource booms and crime: Evidence from oil and gas production in Colorado," Resource and Energy Economics, Elsevier, vol. 54(C), pages 37-52.
    11. Tunstall, Thomas, 2015. "Iterative Bass Model forecasts for unconventional oil production in the Eagle Ford Shale," Energy, Elsevier, vol. 93(P1), pages 580-588.
    12. Auping, Willem L. & Pruyt, Erik & de Jong, Sijbren & Kwakkel, Jan H., 2016. "The geopolitical impact of the shale revolution: Exploring consequences on energy prices and rentier states," Energy Policy, Elsevier, vol. 98(C), pages 390-399.
    13. Lee, Jim, 2015. "The regional economic impact of oil and gas extraction in Texas," Energy Policy, Elsevier, vol. 87(C), pages 60-71.
    14. Arora Vipin, 2014. "Aggregate impacts of recent US natural gas trends," The B.E. Journal of Macroeconomics, De Gruyter, vol. 14(1), pages 1-25, January.
    15. Eleanor Stephenson & Karena Shaw, 2013. "¨ A Dilemma of Abundance: Governance Challenges of Reconciling Shale Gas Development and Climate Change Mitigation," Sustainability, MDPI, Open Access Journal, vol. 5(5), pages 1-23, May.
    16. Arnold, Gwen & Farrer, Benjamin & Holahan, Robert, 2018. "How do landowners learn about high-volume hydraulic fracturing? A survey of Eastern Ohio landowners in active or proposed drilling units," Energy Policy, Elsevier, vol. 114(C), pages 455-464.
    17. Jason Brown, 2015. "The response of employment to changes in oil and gas exploration and drilling," Economic Review, Federal Reserve Bank of Kansas City, issue Q II, pages 57-81.
    18. Munasib, Abdul & Rickman, Dan S., 2015. "Regional economic impacts of the shale gas and tight oil boom: A synthetic control analysis," Regional Science and Urban Economics, Elsevier, vol. 50(C), pages 1-17.
    19. Weinstein, Amanda & Partridge, Mark & Tsvetkova, Alexandra, 2017. "Follow the Money: How Does the Income Flow After an Energy Boom," MPRA Paper 77336, University Library of Munich, Germany.
    20. Maguire, Karen & Winters, John V., 2016. "Energy Boom and Gloom? Local Effects of Oil and Natural Gas Drilling on Subjective Well-Being," IZA Discussion Papers 9811, Institute of Labor Economics (IZA).

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mje:mjejnl:v:15:y:2019:i:2:165-179. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Nikola Draskovic Jelcic (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.