Gazprom obliged to pay Naftogaz $2.56bln

Gazprom obliged to pay Naftogaz $2.56bln

The Arbitration Institute of the Stockholm Chamber of Commerce has imposed a $4.63-billion penalty on Russian energy giant Gazprom over its gas transit dispute with Ukraine’s national oil and gas company Naftogaz, the Ukrainian company said in its Twitter.

Due to the court's ruling, the company has to pay $2.56 billion in compensation to Naftogaz. But Gazprom disagrees with the ruling.

"Gazprom expresses its disagreement with this decision by the arbitration institution. Earlier, the same arbiters agreed with Naftogaz’s explanations that the decline in the demand for gas and Naftogaz’s non-compliance with its gas purchase commitments were caused by a slump in the Ukrainian economy. However, the same argument - a decline in gas purchases by European consumers as the main reason for less transit via Ukraine - was not taken into account as far as Gazprom was concerned," TASS cited the Russian company as saying.

Gazprom said it would defend its rights by all means in line with applicable legislation.

The Russian gas holding said that the Arbitration Institute of the Stockholm Chamber of Commerce has also rejected a Naftogaz appeal to increase the gas transit tarrifs and make the contract with Gazprom compliant with the Ukrainian law.