Ukraine's Naftogaz ready to reduce amount of its claim to Gazprom from $12 bln to $2 bln

Business & Economy January 21, 2019, 19:15

The main topic of negotiations in Brussels is the future transit of gas through Ukraine after the expiration of the 10-year contract in 2019

MOSCOW, January 21. /TASS/. Naftogaz of Ukraine is ready to reduce the amount of the lawsuit against Gazprom to $2 billion from $12 billion if the contract for the transit of Russian gas through Ukraine is extended after 2019. The relevant statement was made by executive director of the Ukrainian company Yury Vitrenko, a spokesman with the company told TASS.

"In this case, our claim will amount to not $12 billion, but only to $2 bln. Because 2 billion is still the share of expenses, which are not covered by the current tariff," he said adding that it concerns the new arbitration process, the company initiated last spring.

However, Vitrenko wrote on Facebook that he "does not expect any concrete results from today's tripartite gas talks in the Ukraine-Russia-EU format," since "it’s impossible to agree on all technical aspects at a high-level political meeting." At the same time, he expressed the hope that "the Russian side will try to start real negotiations on transit."

According to Vitrenko believes that in order to continue gas transit through Ukraine, two agreements need to be concluded: a contract between Gazprom as the operator of the Russian gas transmission system and the Ukrainian operator, as well as a contract with Gazprom as a supplier of gas which concerns booking of transit capacities by the Ukrainian operator.

"The best option for Ukraine is when European companies reserve these facilities and buy gas at the Ukraine-Russia border," said Vitrenko.

At the same time, he stressed that Ukraine "is not ready for any special terms" that it previously had with Russia, calling them "enslaving."

The main topic of negotiations in Brussels is the future transit of gas through Ukraine after the expiration of the 10-year contract on December 31, 2019.

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