New war of words between Russia, Ukraine gas adversaries
Ukraine not interested in Russian gas purchases: Vitrenko
Gazprom says no gas has been offered to Ukraine
Russia's Gazprom has dismissed comments made July 24 by the head of Ukraine's state-owned Naftogaz Ukrayiny about direct Russian gas sales to Ukraine, saying it had not offered to sell gas to its neighbor.
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Register NowIn an interview on Ukrainian television July 24, Naftogaz CEO Yuriy Vitrenko said proposals to maintain transit through Ukraine in exchange for "unfavorable" purchases of Russian gas for Ukraine were "unacceptable."
"They want Ukraine to negotiate directly with Russia, but those arrangements included imports of Russian gas. We do not need any agreements that lead to the money going from Ukraine to Russia," he said.
Gazprom responded July 24 saying it was aware of the comments by Vitrenko, adding: "Please note that no one offered Ukraine to buy Russian gas."
Vitrenko was responding to a statement July 22 by Gazprom chief Alexei Miller where he said Gazprom was ready to supply gas via Ukraine after 2024 in line with any new contracts with EU buyers for Russian gas.
"The comments of Alexei Miller are addressed to our partners from the EU countries, primarily German ones," Gazprom said July 24.
Indeed, Miller's comments on July 22 do not mention direct Russian gas sales to Ukraine.
He said only that Gazprom was open to increasing the volume of gas it sends via the Ukrainian transit corridor to Europe, and is ready to continue gas transit through Ukraine after 2024.
2019 deal
Russia has, however, previously linked the issue of gas transit via Ukraine with direct gas sales.
In September 2019 -- just three months before Gazprom and Naftogaz agreed a new five-year transit deal -- Miller said Gazprom's main focus with regard to its relations with Ukraine was securing a new gas supply agreement with Kyiv.
"The issue of the transit agreement is extremely important, but still the primary question is whether Ukraine will buy Russian gas under a direct contract," Miller told Russian President Vladimir Putin at the time.
Naftogaz suspended Russian gas imports in November 2015 and has vowed never to resume direct purchases from Gazprom.
Gazprom ultimately agreed in December 2019 to transit via Ukraine 65 Bcm of Russian gas in 2020 and 40 Bcm/year from 2021 until 2024 -- down from a recent peak of 94 Bcm in 2017 -- without any agreement on direct supplies.
Miller's comments on July 22 followed an agreement between the US and Germany on July 21 designed to help prevent Russia from using the almost-complete Nord Stream 2 gas pipeline as a "weapon" and to ensure Ukraine's continued role as a transit country.
Under the deal with Washington, Berlin said it had committed to using "all available leverage" to facilitate an extension of up to 10 years to Ukraine's gas transit agreement with Russia.
Negotiations are to begin "as soon as possible" and no later than Sept. 1, it said.
Miller said July 22 Gazprom had "always emphasized its readiness" to continue gas transit through Ukraine, including after 2024, "based on economic conditions and the technical condition of the Ukrainian gas transportation system."
"The issue of new volumes of gas purchased from Russia for transit via Ukraine should be decided based on market conditions and at market prices," he added.
"Gazprom is even prepared to increase transit volumes via Ukraine for volumes of new purchases of Russian gas via the Ukraine route that are above current transit obligations," he said.
Gazprom has come in for criticism in recent months for not booking additional capacity via Ukraine to supply more gas to Europe amid sky-high gas prices and a tight market, but the company has said its focus remains on meeting its European customer obligations.
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Gazprom dismisses Naftogaz chief remarks over Ukraine gas sales - S&P Global
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