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Ukraine 'threatens to seize gas' Ukraine 'threatens to seize gas'
(about 1 hour later)
Russian energy giant Gazprom has claimed Ukraine is threatening to seize Russian gas transported through pipelines in the country to Europe.Russian energy giant Gazprom has claimed Ukraine is threatening to seize Russian gas transported through pipelines in the country to Europe.
Gazprom said the "blackmail" threat was made after it warned gas supplies to Ukraine would stop unless its neighbour signed a new contract by 1 January.Gazprom said the "blackmail" threat was made after it warned gas supplies to Ukraine would stop unless its neighbour signed a new contract by 1 January.
But Kiev insisted that "uninterrupted transportation" of Russian gas to Europe was guaranteed.But Kiev insisted that "uninterrupted transportation" of Russian gas to Europe was guaranteed.
Ukraine has transferred more than $1.5bn (£1bn) which it owes Gazprom.Ukraine has transferred more than $1.5bn (£1bn) which it owes Gazprom.
But the Russian firm said it had not yet received the money from RosUkrEnergo - a Switzerland-registered gas trading company which is acting as an intermediary.But the Russian firm said it had not yet received the money from RosUkrEnergo - a Switzerland-registered gas trading company which is acting as an intermediary.
Gazprom says Ukraine owes more than $2bn, including fines.Gazprom says Ukraine owes more than $2bn, including fines.
European fearsEuropean fears
Ukraine is a key transit route of Russian gas to Europe
Acknowledging that Ukraine had started paying off its gas debt, the Russian monopoly reiterated that there would be "no grounds for supplying gas to Ukraine" if a new contract was not signed.Acknowledging that Ukraine had started paying off its gas debt, the Russian monopoly reiterated that there would be "no grounds for supplying gas to Ukraine" if a new contract was not signed.
Europe's gas pipeline network Enlarge Map
At the same time, Gazprom promised to take all the possible measures to guarantee uninterrupted supplies to all the other European countries.At the same time, Gazprom promised to take all the possible measures to guarantee uninterrupted supplies to all the other European countries.
Some reports suggest Ukraine's Prime Minister may go to Moscow for talks.Some reports suggest Ukraine's Prime Minister may go to Moscow for talks.
Talks continued in Moscow as the two sides also need to agree on a price for 2009 gas supplies to Ukraine.Talks continued in Moscow as the two sides also need to agree on a price for 2009 gas supplies to Ukraine.
Ukraine is a key transit route of Russian gas to Europe, and it is feared that a supply cut could affect countries further west.Ukraine is a key transit route of Russian gas to Europe, and it is feared that a supply cut could affect countries further west.
Gazprom, the world's largest gas producer, supplies a quarter of the European Union's gas needs, or 42% of EU's gas imports.Gazprom, the world's largest gas producer, supplies a quarter of the European Union's gas needs, or 42% of EU's gas imports.
A similar row between Gazprom and Ukraine in 2006 led to gas shortages in several EU countries.A similar row between Gazprom and Ukraine in 2006 led to gas shortages in several EU countries.