Report: Kiev sees Stockholm court decision in Gazprom suit in 2017

KIEV, Jul 5 (PRIME) -- The Stockholm Arbitration Court will make a final decision in a dispute between Ukrainian state energy company Naftogaz Ukrainy with Russian gas giant Gazprom on long-term gas supply contract until the end of 2017, Natalya Boiko, deputy energy minister for European integration, said in an interview to local Channel 5 broadcast late on Tuesday.

“It is difficult to compare them (the preliminary and final decisions of the court), as these decisions cover different segments. We expect that a final decision will be done until the end of the year, it is very important for the government, as it has to finish implementation of the (E.U.) third energy package,” she said.

The court is yet to publish the text of the decision.

Ukraine said that the court in its interim decision cancelled a take-or-pay condition of the contract, allowed Kiev to re-export gas, and ordered a revision of the gas price retroactively from 2014.

Gazprom said that the decision was interim and the company needs time to analyze the document. It also denied the lifting of the take-or-pay condition, saying that overall the decision tips the scales in its favor. Gazprom also said that the preliminary ruling orders Naftogaz Ukrainy to pay U.S. $1.7 billion to Gazprom based on the difference between the preliminarily estimated liabilities of the sides of the conflict by the court.

Gazprom also said that the company will challenge the decision as it is insufficient in many terms, while Naftogaz Ukrainy said that it is in negotiations with Gazprom on the amount of the claim.

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