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17.05.2016 16:16
European, Turkish Companies Sue Gazprom Over Long-Term Contracts Gas Price
For a long time Gazprom's partners have been seeking to reduce the cost of Russian gas, claiming prices on European spot markets are lower than the oil-indexed prices that are used in long-term contracts
AUTHOR: publics.bg


  • © Gazprom

Five gas companies in Europe and Turkey have filed for arbitration against Russian energy major Gazprom, urging a review of the contracted prices for Russian gas supplies.

According to Gazprom’s first quarter report, the companies are Danish DONG Energy, Polish PGNiG, Turkish Botas, Dutch Gas Terra, and London-based Shell Energy Europe, RT reported.

For a long time Gazprom's partners have been seeking to reduce the cost of Russian gas, claiming prices on European spot markets are lower than the oil-indexed prices that are used in long-term contracts.

Arbitration proceedings against the Russian gas monopoly are at different stages.

PGNiG filed a claim in February in Stockholm’s Arbitration Court. The Polish company demands to change the price terms of the long-term gas supply contract signed between PGNiG and Gazprom in 1996. The decision is expected by July 31, 2017.

Turkey’s state-owned Botas has filed a case for international arbitration to seek a gas price discount, which it didn’t receive last year due to the failure of the negotiations over the Turkish Stream gas pipeline.


TAGS: Gazprom | lawsuit | arbitration | gas price | spot market | Europe | DONG Energy | PGNiG | Botas | Gas Terra | Shell Energy Europe 


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