Yanukovych bracing for worst-case scenario in gas talks with Russians

Yanukovych bracing for worst-case scenario in gas talks with Russians Regions faction whip, Oleksandr Yefremov, told journalists Dec. 20 the administration is preparing for the worst-case scenario in the gas talks with Moscow when the gas price will amount to $416 per 1,000 cubic meters

This comes after the Russians said they are unwilling to share Ukraine’s pipelines with Europe. Ukraine has agreed to form a consortium to run its gas pipelines, but Kyiv cannot accept Moscow’s terms.

A source of The Komersant-Ukrayina in the fuel ministry says Dec. 20. 

“Moscow insists that the consortium be formed only by Ukraine and Russia, while Kyiv wants a third of shares to be sold to a European partner,” the source says. Choosing a third partner is also one of the bottlenecks. While Kyiv would prefer Shell or Exxon/Mobil, Moscow points to a Gazprom subsidiary Rurhgas, the source indicated. The Russians propose to offer a European partner a 20% stake. They are eager to have the largest say in the consortium, realizing the pressure of overly high gas price on Ukraine’s economy, the source went on. At the moment, the major issue for negotiators is the format of the future consortium, the source confirmed.

Sources:
zik.ua