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 Ukraine reaches preliminary agreement with Gazprom: Russian gas will be cheaper than European due to discount, - Ukraine’s Energy Minister

газ газпром нафтогаз gas gazprom naftogaz

Ukraine and Russia have reached a preliminary agreement on gas supplies.

Ukraine has reached a preliminary agreement with the Russian Gazprom under the mediation of the European Commission to extend the terms of the so-called "winter package" of Russian gas supplies to Ukraine, Minister of Energy and Coal Industry of Ukraine Volodymyr Demchyshyn said at a briefing in Kyiv, Censor.NET reports citing UNIAN.

"The negotiations with the Russians on the "winter package" are being actively carried on. The working group met last week. Certain agreements have been reached in regard to the discount, the formula for the price, financing, that is, for the European Commission to support us in seeking financing in order to ensure the needed volumes in storage at the beginning of the heating season. 19 billion cubic meters at the beginning of the heating season is still our plan," Demchyshyn said.

Read more: Russia will decide on gas discount for Ukraine by end of June, - Russian Energy Minister

The formula of the 2009 contract between Gazprom and Naftohaz of Ukraine for the third quarter of 2015 suggests the non-market price of $295-296 per 1,000 cubic meters, Interfax-Ukraine writes citing Demchyshyn.

"We pay $250 or less per 1,000 cubic meters of the reverse flow deliveries. It does not make sense to pay an extra $45 per 1,000 cubic meters. I think that the Russian price will be lower than the European one," the head of the Energy Ministry said at a press availability in Kyiv on Monday.

He noted that the discount discussed at the Ukraine-Russia-EU tripartite negotiations is a mere name as it actually adjusts the formula for non-market price to the actual market conditions.

Read more: Yatseniuk: Total amount of Ukraine's claims against Gazprom exceeds $16 billion

Источник: https://censor.net.ua/en/n339238