Publish date31 Oct 2014 - 8:15
Story Code : 172699

Ukraine, Russia, EU strike gas deal

Russia has signed a deal with the European Union and Ukraine on the resumption of natural gas supplies to Ukraine after a hiatus that lasted for several months during the conflict in Ukraine.
Ukraine, Russia, EU strike gas deal


The three-party signing ceremony was held in the Belgian capital Brussels on Thursday after talks among the three countries.

The talks had suddenly stopped in the early hours of Thursday as Moscow expected more guarantees from the EU in case Ukraine failed to pay for gas bills.

The three parties, however, resumed the talks later on Thursday evening and a deal was finally reached.

European Commission (EC) President Jose Manuel Barroso said early on Friday that, “There is now no reason for people in Europe to stay cold this winter.”

The deal stipulates the price of USD 385 per 1,000 cubic meters as long as the contract is in effect.

EU energy commissioner Guenther Oettinger also said that Kiev is ready to pay USD 1.45 billion of its gas debt to Russia within days, while the rest of its gas debt, which amounts to USD 1.65 billion, will be paid off by Kiev before the end of the year.

Meanwhile, Ukrainian Prime Minister Arseniy Yatsenyuk said in Kiev that the EU would act as the guarantor for Kiev in the agreement.

Earlier, Yatsenyuk had said he would ask the United States and Germany for “additional financial instruments for Ukraine that would help stabilize the budget and pay our energy bills.”

Russia provides roughly a third of the EU’s natural gas demands, around half of which is transferred through Ukraine.

Moscow shut off gas deliveries to Ukraine in June, demanding that Kiev settle its debts and pay upfront for any future deliveries.

Ukraine would have been at the risk of facing gas shortages in the winter if the disagreement had not been resolved.

Previous gas disputes had led Moscow to stop gas supplies to Ukraine in the winters of 2005-2006 and 2008-2009, disrupting supplies to customers in Europe.

HK
https://taghribnews.com/vdcdnx0fnyt0596.em2y.html
Your Name
Your Email Address
Security Code