Report: Kiev may resume Russian gas purchases if better price

KIEV, Jun 7 (PRIME) -- Ukraine may resume purchases of Russian gas if gas giant Gazprom agrees to offer a more favorable price, Naftogaz Ukrainy CEO Andrei Kobolev said in an interview with Ukraine’s Channel 5 broadcast late Monday.

“If Gazprom agrees to introduce temporary changes to the existing contract, which is unfavorable and non-market, in order to bring the price to the level, which is at least somehow close to the market one, if the price is lower than the price which we are offered from the European direction, then in terms of minimization of consumers’ expenditures it would be right to buy this gas from the eastern direction,” Kobolev said.

“We should not only ensure stable gas supplies, but try to make it at market prices, at prices that respond to the market at most. If some company arrives and offers a lower price this is at least necessary to consider this offer,” he said.

Kiev suspended purchases of Russian gas in late November 2015 due to price disagreements.

Kiev would like Gazprom to take part in its next tender for gas imports, Kobolev said.

“We would like Gazprom to take part in this process, in other words they should compete with Europeans in gas price which they can offer Ukraine. But if they honestly win this competition, then we will be buying,” he said.

He also said he hoped Gazprom will not file a suit against Ukraine for an increase in gas transit tariffs. In January, Kiev increased transit tariffs for Gazprom by over 50% to U.S. $4.5 for 1,000 cubic meters of gas per 100 kilometers.

Kobolev also expects that mutual claims of Gazprom and Naftogaz Ukrainy at the Stockholm Arbitration Court will be settled in late 2016 or early 2017.

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