Gazprom cuts supply to Ukraine again

MOSCOW, March 4 (UPI) -- Russia's Gazprom announced it will cut energy supplies to Ukraine by 25 percent.

The Russian gas giant said it will make an additional 25 percent cut in energy supplies to Ukraine following Kiev's failure to settle its debt, Russia Today reported.

The presidents of the two countries have had telephone talks, but no representatives of Ukraine's Naftogaz have arrived in Moscow for negotiations.

"There's been no progress on the gas debt crisis. We took the decision to cut gas supplies to Ukrainian consumers by an additional 25 percent, starting from 8 p.m. on Tuesday. Gas supplies to European consumers will continue at normal volumes," Gazprom spokesman Sergey Kupriyanov said.

At the same time, he said Gazprom is ready to continue talks with Ukraine. On Monday morning gas supplies to Ukraine had already been reduced by 25 percent. Now Ukrainian consumers will receive half the volume needed for the country.

On Feb. 12 the Russian and Ukrainian presidents agreed to sign a new gas deal that would have meant the formation of a joint venture between Gazprom and Ukraine's Naftogaz, but Ukrainian Prime Minister Yulia Timoshenko wants to continue buying gas directly from the Russian giant. Ukrainian First Deputy Prime Minister Aleksandr Turchinov accused Gazprom of not paying for gas transit to Europe since December 2007.