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dipsydoodle

(42,239 posts)
Thu Jun 19, 2014, 06:53 AM Jun 2014

Ukraine craves lowest price for Russian gas with minimal obligations - expert.

Sergei Kupriyanov stressed that gas deliveries to European countries through Ukraine will continue. "Volumes of gas for European customers will be fully met in compliance with their contracts. Naftogaz must ensure transportation to the delivery points."

Both Gazprom and Naftagaz have announced they are filing lawsuits with the Stockholm Chamber of Commerce Arbitration. Naftogaz is seeking $6 billion for Russia's 'unfair' gas prices that were set in 2010 under the then Prime Minister Yulia Tymoshenko. In its turn, Gazprom wants to receive $4.5 billion. It is also demanding compensation for Ukraine's failure to import natural gas under their take-and-pay contract with Gazprom over the past two years. The penalty in accordance with the contract could be around $18 billion.

The two countries can't seem to be able to find a mutually beneficial solution and one of the burning issues is the price. "Basically Ukraine wants a price as low as possible and have much lower obligations to take gas," says Danila Bochkarev, Brussels-based fellow with EastWest Institute's Global Security team. Ukraine is also concerned with the fact whether the price will be final or there will be an opportunity to amend it later.

At the moment it is difficult to say what price Russia and Ukraine will agree on, still the expert shares his estimate. "I would say that a reasonable price for Ukraine would be sort of a compromise between the two. The final price, I would think, would be around $350-360, that will be more or less an average price Gazprom gets in Europe minus the transit," the expert observes in an exclusive interview with Radio VR.

Another main point of contention is the conditions of the deal. For instance, the contract "has a take-or-pay clause which Ukraine, of course, wants to" take out.

http://en.ria.ru/analysis/20140617/190591277/Ukraine-craves-lowest-price-for-Russian-gas-with-minimal.html

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Ukraine craves lowest price for Russian gas with minimal obligations - expert. (Original Post) dipsydoodle Jun 2014 OP
Ukraine propose creating group to monitor gas transit to Europe to EU dipsydoodle Jun 2014 #1

dipsydoodle

(42,239 posts)
1. Ukraine propose creating group to monitor gas transit to Europe to EU
Thu Jun 19, 2014, 08:14 AM
Jun 2014

Energy and Coal Industry Minister of Ukraine Yuriy Prodan in a letter to European Energy Commissioner Gunther Oettinger proposed that a working group consisting of representatives of the European Union is created to monitor natural gas transit, the ministry's press service reported on Thursday.

http://www.kyivpost.com/content/ukraine/ukraine-propose-creating-group-to-monitor-gas-transit-to-europe-to-eu-352539.html

Its only Ukraine itself which needs monitoring - other countries pay for what they get as opposed to simply stealing it.

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