Gazprom to Face Arbitration if Contracts Not Revised

Edison SpA, a leading Italian energy company, is prepared to go to arbitration against its gas suppliers, including OAO Gazprom, unless they agree to renegotiate the prices of their contracts to take into account lower spot prices.

Edison, which is controlled by Electricite de France SA and A2A SpA, said that its 2011 earnings could be weaker if the outcome of the renegotiations of long-term natural gas contracts aren't successful.

Germany's E.ON AG and Italy's Eni SpA are amongst gas importing companies are asking for contractual changes.

Source: Wall Street Journal