Russia gas giant Gazprom warned Belarus on Wednesday that it
might cut natural gas supplies to the country if no deal on a price
hike is reached by the New Year.
"If Gazprom does not sign a contract with Minsk, we will have no
grounds for supplying gas to Belarus from 10:00 AM Moscow time
(07:00 GMT) on Jan. 1," Gazprom chairman Alexei Miller was quoted
by the Itar-Tass news agency as saying.
Belarus is buying gas from Russia at US$46.7 per 1,000 cubic
meters. Miller said the current contract expires on Dec.31.
Gazprom is demanding Belarus pay US$105 per 1,000 cubic meters
next year, with US$75 in cash and US$30 in shares in the country's
gas transport company Beltransgaz. Belarus has so far rejected the
price.
Miller said Gazprom had sent its partners in Lithuania, Poland
and Germany notifications on possible troubles in gas transit via
Belarus starting Jan 1.
"But Gazprom will supply gas to its European consumers to the
border with Belarus in full volume and in compliance with the
effective contracts," he said.
Russia provides about a quarter of the gas needs in Europe and
about 20 percent of that gas transits Belarus, much of it to
Germany, Poland and Lithuania.
Russia, the world's biggest gas producer, has hiked the prices
of gas supplied to former Soviet republics.
Gazprom reached agreement with Moldova on Tuesday to sell the
country gas at US$170 per 1,000 cubic meters next year, up from the
US$160 it is paying now. Last week, Georgia signed contracts with
Gazprom for gas deliveries in 2007 at US$235 per 1,000 cubic
meters, a doubling of the price it pays this year.
(Xinhua News Agency December 28, 2006)
