15-year gas deal with Russia

Ukraine's state energy firm Naftogaz is seeking a 15-year contract from Gazprom which would fix gas import price increases for the next five years, the head of the firm, Oleh Dubyna, said yesterday.

Russia and Ukraine have had periodic disputes in recent years over gas prices which have led to supply cuts, including one at the beginning of 2006 which briefly affected European Union countries.

Ukraine transits some 115 billion cu m of gas westwards, accounting for almost a quarter of the European Union's needs and some 80 percent of Russia's total gas exports.

(China Daily 05/08/2008 page10)