Gazprom in Brussels over gas row

Published: Jan. 8, 2009 at 1:01 PM

BRUSSELS, Jan. 8 (UPI) -- Alexei Miller, the CEO of Russian energy monopoly Gazprom, arrived in Brussels Thursday for talks with top European officials over a gas row with Ukraine.

Gazprom Wednesday terminated gas supplies to Ukraine. Routes through Ukraine carry 80 percent of the Russian gas bound for Europe. A row between both countries over arrears and pricing mechanisms for 2009 left many European customers without gas amid a bitter cold spell.

Miller met with European Commission President Jose Manuel Barroso, European Parliament President Hans-Geert Poettering as well as European Energy Commissioner Andris Piebalgs in an effort to settle the dispute, RIA Novosti said.

The news service said Kiev closed several pipelines to Europe, ending supplies to the Caucasus, the Balkans and other regions in Europe.

Gazprom said Ukraine stole 3 billion cubic feet of natural gas from Russian since Jan. 1, an allegation Kiev denies.

Russian President Dmitry Medvedev, meanwhile, spoke directly with his Ukrainian counterpart, Viktor Yushchenko, to settle the dispute.

A Kremlin statement said Ukraine needs to sign deals for 2009 to pay market prices for Russian natural gas, as do other European customers. Ukraine offered $201 per 1,000 cubic meters, rejecting a Gazprom offer of $250 last week. Miller Tuesday quoted $450, however.

Medvedev said in order for Russia to resume gas deliveries through Ukraine, a bilateral control mechanism must be in place to protect mutual interests of each country.

© 2009 United Press International, Inc. All Rights Reserved.
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