11 Oct 2017 16:00

Naftogaz expects Gazprom to pay 'billions of dollars' after Stockholm arbitration - Naftogaz official

KYIV. Oct 11 (Interfax) - The hearing of the disputes between Naftogaz Ukrainy and Russia's Gazprom , from the point of view of financial claims, will result in the payment of a large sum by the Russian company to Naftogaz estimated at billions of dollars, Naftogaz Chief Commercial Director Yuriy Vitrenko said.

"We expect that Gazprom will pay us a substantial sum, which is about billions of dollars, if not more than ten billion," he said in an interview with DW.

"We do not expect that as a result of this lawsuit, if we take the lawsuit on the sale [of gas] and the lawsuit on [gas] transit, we will eventually pay something to Gazprom," Vitrenko said.

At the same time, he found it difficult to name a more accurate amount of possible payments, noting that there are too many calculations of possible settlements, depending on what types of contracts will be taken as the basis for arbitration, as the companies-participants of the dispute failed to settle this.

The commercial director of Naftogaz said he believed that Gazprom, which has significant assets abroad, would have to comply with the court's decision to pay the funds, and its appeal would not be satisfied.

Vitrenko also said that Naftogaz does not expect new agreements with Gazprom on the purchase of gas after the arbitration is finished.

"There is no longer a question of new agreements. Or there will be a decision of the arbitration on the purchase of gas from Gazprom by Naftogaz [according to the 10-year contract signed in 2009], which can be really performed, and the parties will fulfill it, or there will not be this decision," he said.

Earlier he said that the Arbitration Institute of the Stockholm Chamber of Commerce on October 10 finished hearings in the lawsuit between Naftogaz Ukrainy and Gazprom. The award in the lawsuit will be issued by late November 2017.