MOSCOW, Dec. 31, 2008

Ukraine Allegedly Threatens Russian Gas

Russia's Gazprom Claims Ukraine Wants To Seize Gas Headed To Europe

  • Sergei Kupriyanov, Russia's state gas monopoly spokesman, shows a letter from Ukraine's state gas company Naftogaz, in Moscow, Russia, Dec. 31, 2008.

    Sergei Kupriyanov, Russia's state gas monopoly spokesman, shows a letter from Ukraine's state gas company Naftogaz, in Moscow, Russia, Dec. 31, 2008.  (AP Photo/Sergey Ponomarev)

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(AP)  Russia's state gas monopoly, Gazprom, said Wednesday that Ukraine has threatened to seize gas intended for European customers if no deal is reached on gas shipments to Ukraine starting Jan. 1.

Gazprom's deputy chairman Alexander Medvedev said Ukraine's statement amounted to "blackmail" of Russia and the European Union. Gazprom warned it would cut supplies Thursday if Ukraine fails to pay off all its debt and sign a deal for next year's deliveries by midnight.

Medvedev condemned the threat, which came in a letter from Ukraine's state gas company, Naftogaz, as "utterly irresponsible," saying it violated Ukraine's obligations under a previous contract.

The threat could raise fears of disruptions in supplies to Europe similar to those that occurred during a similar dispute in January 2006. The announcement came as Russian and Ukrainian officials remained locked in tough talks on Ukraine's debt for past gas shipments and payment for future deliveries.

Gazprom supplies a quarter of the gas used by EU nations, and about 80 percent of it goes through Ukraine.

France, which holds the rotating EU presidency through the end of Wednesday, urged Ukraine and Russia "to respect their international engagements as a transit country and producer of gas destined for the European Union."

French Foreign Ministry spokesman Romain Nadal told an online briefing, "We hope that the commercial dispute between Ukraine and Russia is settled through negotiations."

Ukraine's Naftogaz spokesman Valentyn Zemlyansky and other Ukrainian officials refused to comment, but Medvedev showed a copy of the letter from Naftogas chief Oleh Dubina at a news conference Wednesday.

Medvedev said Gazprom has a contract with Naftogaz for transit of Russian gas delivered to Western Europe valid until Dec. 31, 2010, and it is unrelated to the supply deal.

Ukraine's Prime Minister Yulia Tymoshenko was scheduled to travel to Moscow for gas talks Wednesday evening but abruptly canceled her trip. Tymoshenko's spokeswoman Marina Soroka said Naftogaz officials remained in Moscow and expressed hope a deal could still be reached.

Gazprom CEO Alexei Miller criticized Ukraine's stance in the talks as "unconstructive" and warned that Ukraine faces a cutoff of supplies at 10 a.m. Moscow time Thursday if it fails to sign a contract for next year deliveries by midnight. Gazprom said Ukraine must pay off $2.1 billion debt for Russian gas supplies and accept a much higher gas price for next year to sign the deal.

(East European Gas Analysis)
(Russia's gas pipelines, left, extend throughout Ukraine)

Ukraine's Naftogaz has said it paid $1.5 billion to settle its debt for Russian gas imports. Medvedev said that the sum has reached the accounts of Rosukrenergo, a Russian-Ukrainian intermediary based in Switzerland, and voiced hope Gazprom would soon receive the money.

But Gazprom's spokesman Sergei Kupriyanov said Ukraine needs to make good on the rest of its debt. Fines owed by Ukraine for accumulating the debt account for the remainder.

Kupriyanov said that Gazprom and Naftogas officials are continuing talks on a contract for next year's deliveries. Ukraine, crippled by a financial crisis, has resisted a move by Gazprom to more than double next year's price for gas to $418 per 1,000 cubic meters.

Kupriyanov said he estimated the chances of reaching the deal at just one in three.

© MMVIII The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
Add a Comment See all 12 Comments
by lordsuntzu January 1, 2009 4:49 PM EST
a UNIFIED EUROPE..aahahahhahahahahahhahahahahhahahah

Reply to this comment
by ndjam January 1, 2009 5:12 AM EST
DO NOT Mess with Ukraine. Russia is playing too many dirty games now. Ukraine is NOT to be touched or else.
Reply to this comment
by presjfk December 31, 2008 8:58 PM EST
Russians should bomb **** out freaking Ukraine, who heck those suckers thing they are in this world, yes Russians cut their supply let them freeze or go to revolution again. Posted by zokin "

You need a history lesson...
Reply to this comment
by presjfk December 31, 2008 8:55 PM EST
"Ukraine shouldn''''t threaten the EU with this kind or irresponsible action, they didn''''t do anything to anyone. Pay the bill and shut up!Posted by libssuck3"
"Russians should bomb **** out freaking Ukraine, who heck those suckers thing they are in this world, yes Russians cut their supply let them freeze or go to revolution again. Posted by zokin "

Ukraine never threatened Russia or Europe and those who believe that will believe anything the dictatorship of Putin prints. There is no doubt, Russia wants the Ukraine to come back into the Federation.

Consider what the Russians have done to Ukraine over the years. If Russia paid 1% of the damages it cost the Ukraine through famine and political turmoil, Russia would supply the Ukraine with free gas forever.

Russia feels that Ukraine is Russia, that Ukraine owes them everything and they have threatened this small country with invasion should they try to prevent Russia from controlling the port city - as well as threatened them for anything they feel is anti-Russian.

God-*** Russia!
Reply to this comment
by chitchat2000 December 31, 2008 7:57 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Does Europe know that the Ukrainian side has made a nice store of Russian gas (they were pumping everything they could during the low demand) and have several months supply?
Now ask yourself why would they steal gas tomorrow? To intice a row between Russia and EU, that''s why.
Reply to this comment
by chitchat2000 December 31, 2008 7:56 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Does Europe know that the Ukrainian side has made a nice store of Russian gas (they were pumping everything they could during the low demand) and have several months supply?
Now ask yourself why would they steal gas tomorrow? To intice a row between Russia and EU, that''s why.
Reply to this comment
by chitchat2000 December 31, 2008 7:46 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Reply to this comment
by chitchat2000 December 31, 2008 7:36 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Reply to this comment
by chitchat2000 December 31, 2008 7:35 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Reply to this comment
by chitchat2000 December 31, 2008 7:34 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Reply to this comment
by chitchat2000 December 31, 2008 7:33 PM EST
To smurfcrusher:

Please, no knee jerk reaction here!
Why are you blaming Russia? If you don''t pay your mortgage, the bank will take your home. If you don''t pay for your electricity, the supplier will cut you off. You don''t pay for grocery - you go hungry. Don''t have money for gas? Use bicycle!
Why would Gazprom just give the Ukrainians two billions dollars worth of gas for nothing?! Do you know that about 50% of this money would go back to the Russian budget in the form of taxes? Why should Russian schools go without, or Russian retirees go hungry?
If anybody is blackmailing the neighbors - that''s your poster child Yuschenko.
Reply to this comment
by smurfcrusher December 31, 2008 2:23 PM EST
So much for the Russians not using energy as a weapon. What jerks.
Reply to this comment
See all 12 Comments

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