If there are no large supplies of Urals or Azeri and other types of light oil from the Caspian region to Ukraine, the starting price of Ukrainian oil at auction will be set at the global price for Urals oil.

The decision to amend the procedure on the organization and holding of auctions to sell oil, gas condensate and liquefied gas is stipulated in cabinet resolution No. 16 of January 21, which was posted on the government's website on Monday.

The cabinet increased the volume of oil supplies to the country’s customs territories, which will be taken into account while calculating the starting price of Ukrainian oil, from 5,000 tonnes to 50,000 tonnes.

The starting price of Ukrainian oil is to be initially calculated on the basis of the customs value of Urals oil, using State Fiscal Service date for 15 days preceding the date of the registration of bids for holding auctions.

If Urals oil is not delivered to the country, the starting price of Ukrainian oil will be calculated on the basis of the customs value of Azeri oil or other types of light oil from the Caspian region. In this case, the cabinet canceled the conditions for applying the decreased coefficient of 0.85 to calculate the starting price of Ukrainian oil.

If Urals or Azeri and other types of light oil from the Caspian region are not supplied to Ukraine, the starting price of Ukrainian oil is to be calculated on the basis of data from Platts' Crude Oil Marketwire, using the average prices of actual deals on the sale of Urals oil using UralsMediterranean and UralsRotterdam quotations, for 15 days preceding the date of the registration of bids for holding auctions.

The cabinet also cut the quorum for holding a meeting of the auction committee from seven to six out of 10 members, and increased the longest term for submitting bids by sellers from five to seven working days.