Gazprom Deputy CEO Alexander Medvedev and Gazprom Spokesman Sergey Kupriyanov at press conference in Moscow
13 January 2009

Gazprom Deputy CEO Alexander Medvedev and Gazprom Spokesman Sergey Kupriyanov today spoke to journalists in Moscow:

  •  Gazprom has informed its European clients that it had declared force majeure on its European gas exports through Ukraine. "Today we sent our partners an announcement on force majeure," Alexander Medvedev said.
  • "We hope the conflict over Russian gas transit via Ukraine will be solved as soon as possible, and then we will be able to increase the volumes of gas deliveries to make up for under-deliveries," Alexander Medvedev said.
  • Alexander Medvedev said that Gazprom and its European partners will demand reimbursement from Ukraine for the halt in gas transit. "We will use the entire legal arsenal. Not only will we demand payment of damages, but many consumer countries will do that," he said.
  • "Everyone sighed with relief yesterday, hoping that transit will begin. It was no accident that we started to send supplies for export through Sudzha. This is an export-oriented pipeline and has direct access to Bulgaria, Romania, Macedonia, and Turkey. Furthermore, we also expected to use the same route to send gas to Slovakia. Sudzha was the last pipeline through which we could still supply gas to Europe."
  • "The Valuika and Pisarevka [gas measuring stations] are not export points, but they service Ukraine's domestic consumers. We have no intention to supply gas to Ukraine as no contract has been signed," said Alexander Medvedev, referring to the two stations proposed by the Ukrainian side.
  • "We are faced with blocked export routes for Russian gas to Europe," Alexander Medvedev said.
  • Gazprom has asked Ukraine to ship 76.6 million cubic meters to the Balkans and 22.2 million cubic meters to Slovakia tomorrow through Sudzha to Orlovka. However, Gazprom has not received a response from Ukraine.
  • As a gesture of good will, Gazprom allowed EU monitors to Gazprom's central dispatch office. "Thus, the European experts will be able to obtain the same information as the management of Gazprom and personally observe the scene. This was done beyond the conditions of the agreement, as a gesture of good will."
  • Gazprom has received a letter from the dispatch control of the TCU of Ukraine, in which it notified Gazprom that as of 1 January 2009 the Ukrainian system is working in an autonomous regime. "They were acting according to a plan. As the New Year came, the whole system was shifted to domestic consumption," Alexander Medvedev said.
  • Sergey Kupriyanov said that Gazprom has received a letter from Naftogaz Ukrainy saying that in order to ensure transit to Europe, Gazprom must provide 140 million cubic meters. "It's written just like that: "to make up for transit volumes in the pipelines." That is, explicitly recognizing that they do not have that gas, and that is the only reason they are unable to ensure gas transit to our European customers."
  • "It is often said that 36 hours is necessary for our gas to reach our European consumer. This could mean only one thing - our Russian gas, which was held in transit pipelines in Ukraine, has been stolen. This amount does not exist and our Ukrainian colleagues have openly spoken about this."
  • "In reality, if the system is pressurized and the gas is there, as soon as we begin to deliver gas at the eastern border, the same volume should be immediately seen by out customers on the western border," Sergey Kupriyanov said.
  • "What is happening now at the entrance to the Ukrainian TCU confirms that Ukrainian statements that they could not cut anything, that they do not have such technological capabilities, will not hold up to any criticism. This is exactly what's happening at the moment," Sergey Kupriyanov said.
  • Alexander Medvedev said that Gazprom received a letter from the Ukrainian side saying that in order to restructure Ukraine's gas transportation system towards exports it was necessary to agree on the technical conditions for the transfer of gas and receive guarantees that gas will be transited for a long time. He noted that it was difficult to understand the requirements of the Ukrainian side, because there is a long-term contract to supply gas to all transit lines.
  • Alexander Medvedev said that Ukraine has also requested that Gazprom supply 76.6 million cubic meters for domestic consumption. "These are the preconditions to restart the transit of gas, 140 million cubic meters here, 76 million cubic meters there and some kind of guarantees," Alexander Medvedev said.
  • Alexander Medvedev said that Gazprom does not yet have information on the full amount of illegally siphoned off gas on the territory of Ukraine. Sergey Kupriyanov clarified, "We don't know yet how much was taken. That will be known after the work of monitors. And that will be possible when gas starts to flow."
  • Sergey Kupriyanov said that Ukraine has already taken 140 million cubic meters just from the Balkan-oriented route. "We do not have information on what is happening in the other parts of the transportation system."
  • Negotiations for 2009 gas supplies are not currently taking place despite Gazprom's readiness to do so.
  • Sergey Kupriyanov recalled that Ukraine's debt before 1 January 2009 stood at $615 million, and it will grow based on how much was illegally taken. Additional fines and fees on that amount have also been incurred since 1 January 2009.
  • Sergey Kupriyanov said that the transit state must provide its own technical gas pursuant to the existing contract between Gazprom and Naftogaz Ukrainy.

Only official statements, speeches and documents issued by Gazprom represent Gazprom's official position. All other materials are taken from the public media.