Advertisement
Australia markets closed
  • ALL ORDS

    7,937.50
    -0.40 (-0.01%)
     
  • AUD/USD

    0.6505
    +0.0016 (+0.25%)
     
  • ASX 200

    7,683.00
    -0.50 (-0.01%)
     
  • OIL

    83.02
    -0.34 (-0.41%)
     
  • GOLD

    2,328.30
    -13.80 (-0.59%)
     
  • Bitcoin AUD

    102,482.58
    +1,012.91 (+1.00%)
     
  • CMC Crypto 200

    1,437.94
    +13.84 (+0.97%)
     

Gazprom proposes extending Ukraine gas deal for three months

People walk near the headquarters of Russia's gas giant Gazprom in central Moscow on June 27, 2014

Russian gas giant Gazprom on Monday offered to extend a supply deal with Ukraine for another three months ahead of a looming deadline that had raised fears for deliveries to Europe.

Ukraine's gas operator Naftogaz said earlier that it had asked Gazprom to prolong an agreement -- inked after a cut-off last year that followed a collapse in relations between the ex-Soviet neighbours -- to spring 2016.

A pact covering the crucial winter months -- that Moscow says gives Kiev a discount -- is due to end Tuesday but the arrival of spring has eased demand from Ukraine and pressure on negotiators.

"Gazprom today sent a letter to the Russian government asking it to study the possibility of granting a discount on gas to Ukraine for a period of three months," Gazprom chief Alexei Miller told Russian state television.

ADVERTISEMENT

Miller said the three-month period was "optimal" ahead of price fluctuations likely due in spring.

The gas dispute between Kiev and Moscow has raised fears that supplies to Europe could be disrupted.

Moscow withdrew a discount it had offered Ukraine after a pro-Western government took over in Kiev last year following the overthrow of Viktor Yanukovych.

The European Union receives about a third of its gas from Russia, with half that amount transiting via Ukraine pipelines.

Talks between Russia, Ukraine and the EU are set to resume in Berlin in mid-April.