The support of Naftogaz Ukrainy, Gazprom thinks, will help persuade Turkmen President Saparmurat Niyazov, right, to yield to gas prices spelled out in the agreement of January 4, 2006 - $65/ths cu meters.
Photo: Dmitry Dukhanin
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Gazprom Cuts Off Turkmen Gas
Russia and Ukraine have closed ranks against Turkmenistan. Despite expectations, the Ukrainians declined Friday to buy Turkmen gas at $100/ths cu meters. Instead, they won Gazprom’s agreement to keep $95/ths cu meters in the third quarter. As a result, Kiev will buy the gas cheaper than set forth in direct offer of Turkmenistan but will lose $1.65 billion, which it could have generated from the export to Europe. Gazprom’s purpose is to make a contract with Turkmenistan in the fourth quarter that will specify the price of $65/ths cu meters.
“RosUkrEnergo and UkrGazEnergo have held all necessary negotiations concerning gas deliveries in the second half of the year,” Yury Yekhanurov said Friday, when opening the meeting of Ukrainian cabinet. “All necessary agreements have been attained. The imported gas in Ukraine will cost $95/ths cu meters in the third quarter. As to the fourth quarter, we will be working to make it a stable price for imported gas.”
Earlier that day, Ukrainian Fuel and Energy Minister Ivan Plachkov met Turkmen President Saparmurat Niyazov in Ashkhabad, the capital of Turkmenistan, apparently intending to purchase 17 billion cu meters of Turkmen gas to meet this year’s fuel requirements of the country and to export 8 billion cu meters to Europe so that Naftogaz Ukrainy could derive $1.65 billion in extra revenues. The price was 100/ths cu meters.
But in the course of the meeting, a source close to negotiations said, Gazprom “made an interesting offer to Ukrainian authorities.” Russia’s gas monopoly promised not to hike gas prices for Ukraine during three months should the latter turn down Turkmen gas offered at $100/ths cu meters.
Backed up by Naftogaz Ukrainy, Gazprom hopes to persuade Niyazov to stick to the gas price stipulated in the agreement of January 4, 2006 - $65/ths cu meters.
“Therefore, Russia and Ukraine have jointly opposed the gas blackmail of Niyazov,” said Pavel Kachur, analyst of Kiev R&J Investments. But whether the truce will eventually lead to success depends on the readiness of both parties to compromise and coalesce against the vendor.
www.kommersant.com
All the Article in Russian as of July 03, 2006
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