BCN-19 Russia opposes selling gas to Ukraine on eastern border for supply to EU

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ZCZC

BCN-19

RUSSIA-UKRAINE-EU-ENERGY-GAS

Russia opposes selling gas to Ukraine on eastern border for supply to EU

BERLIN, May 17, 2019 (BSS/TASS) – Russia’s Energy Ministry opposes the
idea of selling Russian gas to Ukraine on the eastern border, so that later
the Ukrainian side itself could sell it to the EU countries, Deputy Energy
Minister Anatoly Yanovsky, told reporters on the sidelines of the
international conference Prospects for Russia-EU Energy Cooperation: Gas
Aspects.”

“Why should I give my customers to them? If I have been supplying [gas] to
them for 30 years?” Yanovsky said, stressing that the current contract
between the countries provides for the transit of gas to Europe through
Ukraine.

Prolongation of this contract can be one of the options for maintaining
transit through Ukraine, he noted.

“In the current contract, you can change the volume and time. Everything
is possible,” said Yanovsky.

“The EU rules should provide freedom of movement [of gas] through the
territory at a competitive price but they do not grant this yet,” he added.

According to Yanovsky, the parties may manage to agree on the extension of
contact this year.

“The closer to the deadline, the stronger the desire to settle
everything,” he said.

“Any new agreements that can be reached should not be to the detriment of
the ongoing arbitration (between Gazprom and Naftogaz – TASS),” he added.

The contracts Gazprom and Naftogaz signed in 2009 for the supply of gas to
Ukraine and the transit of gas through the country to Europe expire in the
end of this year. Extension of the agreements on transit of Russian gas after
2019 is also being discussed in the context of the planned construction of
the Nord Stream-2 gas pipeline from Russia to Germany, which will bypass the
transit countries.

BSS/TASS/HR/1230