"Gazprom" - Ukraine: Joking Apart / News / News agency Inforos
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"Gazprom" - Ukraine: Joking Apart

"Gazprom" - Ukraine: Joking Apart
Last week "Gazprom" practiced cutting off gas supply to Ukraine. The company's top managers make no secret that they are getting ready for the worst course of developments. In the event of the Ukrainian party refusing to pay new rates for Russian gas, gas supply to Ukraine would be cut off at 10 a.m. on January 1, 2006.

"Our proposals fully comply with the universal practice of operations in gas sector. Therefore, any possible suspension of gas supply to Ukraine will be caused entirely by the Ukrainian side. They have all the facilities to prevent a critical development of events", press secretary of the chairman of the "Gazprom" board of directors, Sergei Kupriyanov, told journalists.

According to him, "Gazprom" has readied a plan of action in case Ukraine starts retrieving gas destined for European consumers. However, S. Kupriyanov did not disclose any details.

"Gazprom" also intends to take the matter to the Court of Stockholm, if Ukraine attempts to arbitrarily retrieve Russian gas supplied via Ukraine to Europe, says deputy chairman of the "Gazprom" board of directors Alexander Medvedev.

He also explained the principle governing the formation of gas prices for Ukraine for next year.

"Our Ukrainian colleagues are not quite sincere saying that they are shocked. Ukraine is itself selling gas to European consumers. They have a running contract with Romania. And the gas price under the contract will be, starting from January 1, not $230 or $250, but $265. So our Ukrainian colleagues know full well how prices are being formed in Europe. So there can be nothing shocking to them", said the "Gazprom" spokesman.

Besides, said A. Medvedev, "Gazprom" has proposed that the Ukrainian party pay up for gas in part with realty.

"We have proposed that Ukraine pays for the gas partly in cash and partly in the realty we may be interested in. We are ready to jointly estimate or invite an independent valuator to estimate the cost of Ukraine's gas transportation system, and we are ready not only to take account of this property, but also to jointly invest in it, and the investment would be very sizable ", noted A. Medvedev.

However, Ukraine has turned down the proposal. "We see no reason in handing over our gas transportation system to anyone", said chairman of the board of directors of 'Naphtogaz Ukrainy" company Alexei Ivchenko.
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