BELARUS NEWS AND ANALYSIS

DATE:

26/12/2006

Belarus hopes Gazprom will soften position on gas price

MINSK/MOSCOW. Dec 26 (Interfax) - The Belarussian Energy Ministry deems possible a reduction in the price for Russian gas in 2007, a ministry spokesman told Interfax.

"We'll stick to our position in the talks and hope to soften the position of Gazprom (RTS: GAZP,) " he said.

While substantiating its position Belarus has been referring to the agreement on the formation of the Union State and to the terms of the Belarussian-Russian interstate agreement on cooperation in the gas sector, signed in April 2002. This is why Belarus has not yet signed the gas contract for the next year, he said.

The Belarussian official said that the parties had coordinated the valuation of Beltransgaz assets, which will be used while forming a joint venture on a parity basis.

"ABN Amro Bank has valued Beltransgaz at over $5 billion," he said. Hopefully, a contract for gas supplies in 2007 will be signed before the end of the year, he said.

It was announced earlier on Tuesday that no results were achieved in another round of talks on Russian gas exports to Belarus.

Source:

http://www.interfax.com/3/226768/news.aspx