BELARUS NEWS AND ANALYSIS

DATE:

01/08/2007

Belarus owes $456.16mn to Gazprom this year

Gazprom has sent to Beltransgaz President Vladimi Mayorov an official notice about curtailing gas delivery to customers in the Republic of Belarus because the obligations to pay for the gas supplied in the first half of 2007 were not fulfilled and there are no guarantees of payment. Daily amount of gas delivery to Belarus will be cut down in accordance with the contract proportionally to the real payments - by 45% starting from August 3, 10:00 a.m., REGNUM was told at the company's press office. Under the contract, Beltransgaz committed to secure unhindered passage of the Russian gas via its territory to third countries.

On December 31, 2006, Gazprom and Beltransgaz signed a contract to deliveries and transit of the gas in 2007-2011. The document established the price for the Russian gas in 2007 - $100 per 1,000 cubic meters. In accordance with the contract, in the first half of the year, the Belarusian side was to pay for 55% of the gas delivered, on condition that the rest of the sum would be repaid by July 23 and since July 1 Belarus would pay 100% of the price.

Delay of the payment I June-July 2007 was $456.16mn. Breaching the contract, no payments were made and no guarantees were given that they would be made. At the same time, Gazprom paid in time $625mn for 12.5% of Beltransgaz shares envisaged y the agreement.

Source:

http://www.regnum.ru/english/864639.html