Putin says russia, ukraine reach deal in principle on gas row
12 February 2008
Published in Forbes
Russia and Ukraine said today they had reached a deal in principle on resolving a dispute over gas debt in which energy giant Gazprom was threatening to cut supplies to Ukraine, Russian President Vladimir Putin said.
The comments by Putin after meeting Ukrainian President Viktor Yushchenko eased fears that a row between the two could force a repeat of 2006, when a pricing dispute between Moscow and Kiev disrupted shipments to Europe.
Russia and Ukraine said today they had reached a deal in principle on resolving a dispute over gas debt in which energy giant Gazprom was threatening to cut supplies to Ukraine, Russian President Vladimir Putin said.
The comments by Putin after meeting Ukrainian President Viktor Yushchenko eased fears that a row between the two could force a repeat of 2006, when a pricing dispute between Moscow and Kiev disrupted shipments to Europe.
'(Russian gas company) Gazprom is satisfied with the
offers made by the Ukrainian side,' Putin said. 'We
have agreed on the principles of co-operation.'
Last-minute talks today were closely watched by Eastern Europe's gas firms and industrial producers, including Poland's PGNiG and ZA Pulawy, which would have been first in line had the dispute weakened volumes passed on to Europe.
Gazprom had promised vital deliveries to the European Union would not be disrupted by the row, which Ukrainian Prime Minister Yulia Tymoshenko blamed chiefly on middle men who took a cut of the trade.
Putin's likely successor, Dmitry Medvedev, called yesterday for Russia's neighbours to come to terms with the fact that Moscow would no longer subsidised their gas, as was the case for years after the 1991 Soviet collapse.
Last-minute talks today were closely watched by Eastern Europe's gas firms and industrial producers, including Poland's PGNiG and ZA Pulawy, which would have been first in line had the dispute weakened volumes passed on to Europe.
Gazprom had promised vital deliveries to the European Union would not be disrupted by the row, which Ukrainian Prime Minister Yulia Tymoshenko blamed chiefly on middle men who took a cut of the trade.
Putin's likely successor, Dmitry Medvedev, called yesterday for Russia's neighbours to come to terms with the fact that Moscow would no longer subsidised their gas, as was the case for years after the 1991 Soviet collapse.