Russia Cuts Gas Price for Ukraine

December 18, 2013

The Russian gas price will make 268.5 U.S. dollars for Ukraine, according to an additional agreement, which Russia’s Gazprom and Naftogaz Ukrainy signed on December 17, Itar-Tass has reported.

The companies have signed the addendum to the January 19, 2009 purchase-sale contract, supplies, amounts and terms of natural gas transit upon the results of a meeting of the Russian-Ukrainian interstate commission on Tuesday.

“Realising some difficulties on the Ukrainian market that resulted from the global economic crisis, Gazprom and Naftogaz Ukrainy have signed a contract, under which the gas price will make 268.5 U.S. dollars for 1,000 cubic metres,” Putin said. “Now it is higher than 300 U.S. dollars,” he recalled.

“I believe that this is a temporary decision, I mean that long-term agreements were reached,” the Russian president said, noting that this concerns gas supplies to Ukraine and gas transit to Europe.

“The talks focused on energy cooperation, primarily in the gas sphere,” Putin said after the talks with visiting Ukrainian counterpart Viktor Yanukovich. “The discounts on Russian gas remain in effect for Ukraine that permitted the country to save more than 10 billion U.S. dollars,” he recalled.

“Russia is prepared to take reciprocal steps towards the country’s partners, but we face the task to work out a really effective and long-term scheme of cooperation, pass from permanent debates on the price to pragmatic cooperation in gas supplies to Ukraine and reliable gas transit to European consumers,” Putin stated.

Copyright: Itar-Tass, 2013