Kiev called the “real price” for Russian gas

“Naftogaz of Ukraine” believes that in the third quarter of the “real price” of Russian gas for Ukraine may be $172-175 per thousand cubic meters. This was stated today by the head of the company Andrey Kobelev in an interview to Ukrainka “5 channel”.

“[Predpravleniya “Gazprom” Alexey] Miller gave a price of $167. We waited a long time for the price proposal. The real price will be higher because there is a formula in which the Treaty [former Premier Yulia] Tymoshenko laid the calorie content. And the real price of gas, I think, will be not less than $172-175, but really about $173″, quotes its “Interfax”. Commentary representative of “Gazprom” yet did not manage to get.

Earlier Thursday, Miller at a press conference said that the price of gas for Ukraine in the third quarter of 2016 will be $167,57 per 1 thousand cubic meters. He also said that Ukraine has asked for 3 billion cubic meters in the third quarter. But the contract with “Gazprom” is constructed so that “Naftogaz” should immediately make a prepayment in larger sizes, said Kobolyev: “at least 3 billion cubic meters, which does not suit the Ukrainian side, as for a month so gas is not necessary”. On the basis of the prices declared by Miller, this volume of gas would cost Kiev $502,71 million ($519 million at a price of $173 per 1 thousand cubic meters). While Ukraine plans to purchase in the third quarter of 3 billion cubic meters of gas from all directions and not only in Russia.

“The price is lower than in the gas trading platforms in Europe buying Russian gas for Ukraine is beneficial,” said on Thursday Miller. But, according to KOBOLEV, the quotations of “Gazprom” and European counterparts, “Naftogaz” are almost on the same level, and the company will select additional appropriate conditions for the purchase of gas. “I think that in the near future “Naftogaz” will economically balanced and correct the decision as to where, at what price and on what schedule to buy gas,” he added.

“Naftogaz” will be able to buy on the European market traders gas for the third quarter at a price of $167,5-172 in the amount of 3 billion cubic meters in reverse, Simonet Director of East European Gas Analysis Michael Korchemkin.

According to KOBOLEV, the current version of the contract also provides for warranty obligations on the part of “Gazprom” in precision parts for a schedule of gas supply and its flow. “What guarantees that all the gas will be provided and will be served in those sampling points, which are controlled by the Ukrainian government that we can check? That is, there are many unresolved issues,” he said. In this regard, the Ukrainian side has sent to Gazprom a letter proposing to sign the additional agreement to the gas supply contract from 2009, which will stipulate the details of the deliveries in the third quarter of this year. But earlier, Miller said that no additional agreement “Gazprom” is not going to sign: the supply of gas possible at the current contract price prescribed in the existing contract from 2009 and this document is sufficient.

In 2015 between Kiev and Moscow, disputes arose because of delivery of gas through the compressor station located on the territories controlled by the militias in the Donbass. The amount of debt of Naftogaz for supplies to the South-East of Ukraine increased to $718,5 million, said Miller on Thursday. The Ukrainian side does not recognize this debt, arguing that no controls this region and not getting supply through the gas.