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Moldova and Gazprom plan to update gas supplies contract — Moldovan deputy PM

Moldovagaz and Gazprom signed a five-year contract on gas supplies in October 2021

CHISINAU, January 17. /TASS/. Moldova’s gas company Moldovagaz and Russia’s Gazprom plan to update the contract for gas supplies to Moldova after the winter period, Moldova’s Deputy Prime Minister and Minister of Infrastructure and Regional Development Andrei Spinu said on Monday.

"We have agreed to return to the contract after the winter period to discuss updating it as some of its provisions have become obsolete and do not meet market requirements," he said in an interview with the TVR-1 television channel.

According to Spinu, this issue was discussed during the talks in St. Petersburg in October. "Gazprom supports this decision," he said, adding that the current contract was signed as far back as 2006 and was extended many times.

Moldovagaz and Gazprom signed a five-year contract on gas supplies in October 2021. The pricing formula is based on the market gas and oil prices. Apart from that, the major term of the agreement is complete payment for current consumption.

Moldovagaz undertook to transfer payment on the 20th each month but due to the skyrocketing spot exchange price for gas and the slow revision of tariffs Moldovadaz is unable to raise the necessary sum in time. After it got into arrears in November 2021, Gazprom notified Moldovagaz about the possible suspension of gas supplies in 48 hours.

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