Ukraine-Russia Deal Would Guarantee Supply Security to Europe, Azarov Says

Ukraine's burgeoning agreement with Russia on gas prices will benefit the security of gas supply to Europe, the Ukrainian Prime Minister has said.

Mykola Azarov says that a successful agreement with Russia would "guarantee" the supply of natural gas to Europe, and ensure the security of supply. 

Speaking on the Ukrainian national broadcaster Inter TV channel on Friday, Prime Minister Azarov said, "The first thing Russia needs is guarantees of reliable supplies of gas to Europe. We are trying to persuade our Russian partners that, by concluding an agreement, we are prepared to guarantee reliable and stable gas supplies, which is our main argument."

He told reporters that Europe was keen to conduct business with Ukraine, as doing so could bring the price of gas down.

"Europe is interested in our pipeline most of all, as it ensures quite cheap supplies of energy from Russia, and this is exactly why our negotiations with the EU indicate that the Europeans will want to join such an agreement in the future."

Though Minister Azarov says that price negotiations with Russia are ongoing, a deal may not be easily met.

Vice-Deputy of Gazprom, Valery Golubyev, told reporters on Saturday that Gazprom would not be reducing the cost of gas transit to Ukraine to cost price.

"This is improbable and I don't think it's reasonable," he said.