2 Sep 2011 14:08

Naftogaz's future is with Gazprom - Miller

MOSCOW. Sept 2 (Interfax) - Russian gas giant Gazprom CEO Alexei Miller, in remarks on Ukrainian Prime Minister Mykola Azarov's announcement concerning national oil and gas company Naftogaz Ukrainy's restructuring, said he agrees with this option, as well as the possibility of revising current contracts, but only if the Ukrainian company is merged with Gazprom.

"Naftogaz Ukrainy as a business entity will cease to exist, there will be a liquidation period, and some time after all the necessary formalities are observed, absolutely different new companies will start operating on the market. Therefore, all agreement currently in place will be revised," Azarov told journalists in Kyiv on Friday.

Azarov had earlier told journalists in Kyiv that the Ukrainian government planned restructuring of Naftogaz Ukrainy would mean a revision of its agreements with Gazprom.

The government is working on Naftogaz structure, the Ukrainian PM said.

As reported, Naftogaz and Gazprom signed in 2009 agreements on the purchase by and transit through Ukraine of Russian gas for the period 2009-2019. After the country's presidential elections early last year, the Ukrainian authorities began to seek to have these agreements revisited, calling them disadvantageous for the country. Kyiv was able to get a 30% discount off the gas price, but not more than $100 per 100,000 cubic meters, but Moscow has said the creation of a joint venture with Naftogaz is a condition for any further reconsideration of the agreements.