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Ukraine pays $15mn to Gazprom for one day of gas

Gazprom spokesperson Sergey Kupriyanov

Ukraine’s state-run gas company Naftogaz has paid Russia’s major natural gas supplier Gazprom $15 million, an amount which covers only a day’s gas consumption, Gazprom says.  

“Today at 9:20 a.m. MSK Gazprom received a payment from Ukraine’s Naftogaz in the amount of $15 million. At the current level of supply this sum will be enough roughly for one day,” said Gazprom spokesperson Sergey Kupriyanov on Friday.

According to Russia’s RT TV network, the relatively small payment is an attempt by Kiev to buy time before the March 2 talks with Russia and the EU in the de facto EU capital Brussels.

"If Naftogaz paid for another 24 hours, it means the resources would last through Monday till Tuesday," added Kupriyanov.

Russian Energy Minister Alexander Novak (pictured below) has warned that if Kiev fails to remit prepayment for gas, its supplies will be halted.

"The concerns and worries are caused first of all by the fact that not much prepaid gas is left. If there is no money the supplies will stop starting from Tuesday,” the energy minister said.

In October, Russia and Ukraine signed a gas deal according to which Ukraine must pay for its gas shipments in advance.

Russia warns

Earlier in the week, Russian President Vladimir Putin, along with other government officials, warned that Ukraine’s gas supplies would be cut off by the end of the month unless the prepayments are transferred on time.

Meanwhile, Ukraine has accused Russia of not sticking to its obligations under the gas contract .

"Naftogaz expects to receive the declared amount of gas paid for — no more and no less, and through agreed gas entry points," said company spokeswoman Alyona Osmolovskaya.

Earlier in the month, the International Monetary Fund (IMF) accepted the provision of a $17.5-billion bailout for Ukraine on the condition that it implements economic reforms and expanse cuts.

Monday’s trilateral talks could see an interim agreement between the three sides guaranteeing the supply of the vital source of energy to the EU and Ukraine despite growing tensions over an armed conflict in eastern Ukraine.

SRK/AS/MHB


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