Naftogaz, Gazprom Trade Accusations

While Gazprom says it will 'provide a budget surplus' in 2015, Ukraine’s Naftogaz voiced some doubts about its commercial ties with the Russian company. According to the Kiev-based company, Gazprom has not fulfilled prepaid gas supply orders.

‘Specifically, Gazprom was obliged to deliver 114 million cubic meters (mcm) on both 22 and 23 February but supplied only 47 and 39 mcm on these dates, respectively. Gazprom has so far given no explanation regarding the violation of these contractual obligations’ reads a note released on Tuesday.

Gazprom responed that supplies to the EU were at a “serious risk,” saying that Ukraine had failed to make a payment for new shipments. Gazprom said that the remaining volumes that have already been prepaid would last for just two days.

Despite the lower-than-expected deliveries, Ukraine’s storage facilities remain over 25% full. The country still holds 8,115 mcm of gas according to data published by Gas Infrastructure Europe. 

"The European Union is now Ukraine’s main source of imported gas, and that makes flawless execution of our commitment to transport gas to the EU our continued strategy” Naftogaz CEO Andriy Kobolyev said. 

As a result, Naftogaz could now avoid additional advance payments for Russian supplies. It would order new Russian gas only after assurance regarding Gazprom’s strict compliance with the Binding Protocol signed on October 30, 2014 in Brussels.

Meanwhile, Gazprom confirms it will invest RUB 733.09 billion for capital construction. 

‘Gazprom closely monitors the global economic environment, in particular, the exchange rate volatility and takes it into account while running its business. It was pointed out that despite the exchange rate fluctuations, at the year-end Gazprom would provide a budget surplus as was expected’ reads a note released on Tuesday.