Gazprom postpones pre-payment for gas for Ukraine until June 16

11 June 2014 10:04
(QHA) -

Russian gas giant Gazprom has given Ukraine another week before it will start demanding prepayment for gas.

The regime of advance payment for Ukraine will take effect on June 16, Gazprom CEO Alexei Miller has said, according to RIA Novosti. 

"The Russian side has taken a step forward and decided to delay the upfront payment regime until 10.00 on Monday [June 16] in order to continue negotiations which have been very intensive in the past few days," Miller said.

He said that respective instructions regarding the postponement of the prepayment regime would be given to the company in the near future.

 "We hope for a constructive dialogue in the bilateral format between the European Commission and the Russian delegation and between the Russian delegation and the Ukrainian side, and trilateral negotiations which will take place in Brussels," Miller said.

The two sides differ on how much Ukraine's state energy company owes and about the price Ukraine should pay for future gas deliveries.

Gazprom says Ukraine's Naftohaz owes billions of dollars and has threatened to cut off gas supplies unless the debt is paid.

 Ukraine had refused to pay the gas bill in protest at Russia's decision to more than double the gas price -- from $268 to $485 per 1,000 cubic meters -- after pro-Russian President Viktor Yanukovych was ousted in February.