Ukraine Says No Plans to Resume Gas Purchases From Russia

Ukraines state energy firm Naftogaz said it would not resume buying natural gas from Russia, suspended since late 2015, until Moscow offered it competitive prices and conditions.

Ukraine was one of Russias largest consumers of natural gas until the relations between the two ex-Soviet republics soured in 2014 when Moscow annexed Crimea peninsula from its neighbor.

Kyiv stopped buying Russian gas in November 2015, increasing purchases from Europe instead.

Ukraine has embarked on natural gas market reforms, including scrapping of state-regulated gas prices for industrial users. The reform is one of the prerequisites for much-needed financing from the International Monetary Fund.

“Reform of the Ukrainian gas market has created an opportunity for any Ukrainian or foreign trader to buy gas from Russia, should prices and conditions be competitive. But, so far, Russia hasnt offered gas under these terms,” Andriy Kobolyev, Naftogazs chief executive told Reuters in an email.

“Ukraine will never go back to the days of corrupt energy deals and energy dependence on Russia, and they know that.”

Russian and Ukrainian companies signed a 5-year deal Read More – Source