Gazprom Reported to Have Cut Prices in EU and Turkey

Russian gas giant Gazprom has given a ten per cent reduction in prices to its EU and Turkish customers, the Financial Times has reported, quoting Deputy Chief Executive of Gazprom Alexander Medvedev.

Mr. Medvedev said the company had given the ten per cent cut in response to its customers' requests, including Wingas, GDF Suez, SPP, and Botas.

"Our partners asked us to revise our prices and ... what we did is correct the parameters of our formula, which led to a relative price reduction of 10 per cent on average," he said.

"The new price will ensure that Russian gas remains competitive."

The news comes after a Reuters report on Tuesday that Gazprom had reduced prices for a number of its European customers, including Wingas, GDF Suez, SPP, EconGas and Sinergie Italiane.

Gazprom has come under increasing pressure in the last year to lower its gas prices, which are linked to oil-prices, keeping the price higher than market levels should allow, its customers have said.