Ukraine-Russia to sign new gas deal today
19 January 2009
Ukrainian Prime Minister Yulia Tymoshenko will return to Moscow today to finalize a natural gas contract, the outline of which she agreed to with Russian Prime Minister Vladimir Putin during talks this weekend. Vedomosti newspaper said that Ukraine will pay USD 360 per ths cm of gas in 1Q09. According to news reports, Gazprom agreed to give Ukraine a 20% discount to the European price in 2009. From 2010 forward, Ukraine will pay the full European price. In return for the discount, Ukraine will reportedly maintain the transit fees for Russian gas to Europe at last year’s level of USD 1.7 per ths cm per 100 km. The signing of the agreement will pave the way for the resumption of deliveries to Ukraine and transit of gas through to Europe, which has now been cut off for 12 days. The European Union said it will reserve comment on the new deal until gas flows resume.
