Belarus to pay more for Russian gas

Gazprom offered Belarus’ national Beltransgaz to buy Russian gas at European prices starting in 2007, Gazprom’s press service reported quoting a statement made by Gazprom CEO Alexei Miller at his meeting with Belarusian Energy Minister Alexander Ageyev and Beltransgaz General Director Dmitry Kazakov. “In 2007 Belarus shall pay for Russian gas supplies at European level prices,” Gazprom said. Belarus is expected to respond to Gazprom’s offer by April 30.

On December 27, 2005, Gazprom and Beltransgaz signed a contract for natural gas supplies and transportation in 2006. Gazprom shall supply 21 billion cubic meters of gas to Belarus at $46.68 per 1,000 thousand cubic meters this year, of which the delivery of 1.5 billion is made conditional on a technical possibility. Prices for gas supplies and transportation tariffs remained the same as in the 2005 contract.

Gazprom is in talks with Belarus to set up a joint gas venture on the basis of Beltransgaz, with equal stakes. Belarus insists on selling the 50 percent stake in Beltransgaz to Gazprom at a market value.

Gazprom is the owner of Belarus’ part of the trunk pipeline from the Yamal Peninsula to Europe, pumping over 50 percent of Russian gas exported through Belarus.