Turkmenbashi Looking To Raise Gas Prices?

Turkmenistan has criticized Ukraine for delays in clearing its almost USD 159 mln gas debt and warned that further that delays may undermine a long-term gas supply agreement between the two countries. Ukraine has apparently angered Turkmenistan, its largest source of gas, by dragging its feet regarding its debt, reportedly about USD 485 mln as of October 2005. The delays in making its debt payments follow a dispute between Turkmenistan and Ukraine in the 6M05 over the value of goods shipped as payment for gas. The dispute postponed the shipment of goods and eventually forced Naftogaz to switch in July 2005 to cash payments. Concorde Capital: Turkmenistan seems to be looking for an excuse to raise gas prices. Relations between the two countries are definitely at a low point at a time when Ukraine can not afford any more gas problems – someone in the Kremlin is smiling.