KIEV, Nov. 9 - Curbing prices for natural gas extracted in Ukraine, together with the ban on its sale to industrial consumers, is harming the financial and economic activities of ChornomorNaftoGaz, the only state enterprise that develops hydrocarbon deposits in Ukrainian part of the Black and Azov Sea shelves, according to company Chairman Anatoliy Prysiazhniuk.

"There is no natural gas market in Ukraine. We are still being told to whom and at what price we are to sell our products. However, we have to purchase all material and technical resources at market prices, which are continually soaring. This way, the cost of oil and gas extraction grows. The profitability of ChornomorNaftoGaz dropped from 25% in 2006 to 0.8% in 2007. What serious investments into new deposits' development, or increasing oil and gas extraction can be discussed in such conditions?" Prysiazhniuk said in Kiev.