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Gazprom cuts Ukraine gas supply | Gazprom cuts Ukraine gas supply |
(about 3 hours later) | |
Gazprom, Russia's gas monopoly, has cut supplies to Ukraine by 25% after talks between the two sides ended in failure. | Gazprom, Russia's gas monopoly, has cut supplies to Ukraine by 25% after talks between the two sides ended in failure. |
State-owned Gazprom claims it is owed $1.5bn (£770m) in arrears, and that efforts to get Ukraine to pay off the debts had "reached a dead end". | State-owned Gazprom claims it is owed $1.5bn (£770m) in arrears, and that efforts to get Ukraine to pay off the debts had "reached a dead end". |
A previous row between the two sides saw Russia cut gas to Ukraine in 2006, also hitting exports to Western Europe. | A previous row between the two sides saw Russia cut gas to Ukraine in 2006, also hitting exports to Western Europe. |
Gazprom reassured European consumers that their gas supply would not be affected by the current problems. | Gazprom reassured European consumers that their gas supply would not be affected by the current problems. |
"Gas deliveries to European consumers will go on in full amount," said Gazprom spokesman Sergei Kupriyanov. | |
"Gazprom is ready to continue talks with Ukrainian officials," he said. | |
Earlier, the European Commission said it had been assured by Gazprom that supplies to the European Union will not be impacted. | Earlier, the European Commission said it had been assured by Gazprom that supplies to the European Union will not be impacted. |
Stalemate | |
Last month, Russian President Vladimir Putin and Ukraine's Viktor Yushchenko reached an outline deal, but the details could not be agreed. | Last month, Russian President Vladimir Putin and Ukraine's Viktor Yushchenko reached an outline deal, but the details could not be agreed. |
Ukraine's deputy prime minister said the money owed had already been transferred and that documents to confirm this had been sent to Gazprom. | |
But Gazprom's Mr Kupriyanov maintained that the problem had not been resolved. | |
"Gazprom is a reliable supplier of energy resources, but we cannot and should not deliver gas without payment," he said in a statement. | |
The gas cut came hours after Gazprom chairman Dmitry Medvedev won the Russian presidential election with the support of President Vladimir Putin. | |
The Kremlin has tightened its grip on Russia's oil and gas supplies and used this control to help create an economic boom in the country. |