Russia Today: Ukraine lines up for Gazprom’s discount

Russia’s major gas producer Gazprom has revised tariffs with several large European customers. The move brings hope to Ukraine which is looking for a discount price for gas.

The Russian Ministry of Energy sent a letter to is Ukrainian counterpart offering to resume negotiations on gas tariffs, according to the Russian Ambassador to Ukraine Mikhail Zurabov. Gazprom would probably give a 10% discount to Ukraine reducing the cost of gas from $415 to $390 per 1,000 cubic meters, Kommersant daily reports. 

The negotiations on gas pricing between Russia and Ukraine reached a deadlock in January after Russia refused to the cut price to $200-250 per 1,000bcm of gas.

Gazprom has reduced gas prices by 10% in its long-term contracts with French GDF Suez, Germany’s Wingas, the Slovakian SPP gas company and Turkey’s state gas supplier Botas. The negotiated price for gas to EU customers would be about $415 per 1,000bcm of gas.  MORE