Nowadays, shale gas is becoming an increasingly promising alter- native 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 identi- fied, 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, prac- tical, 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 environ- mental 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 develop- ment 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 eco- nomic, environmental and legal.