13.05 PREVIEW: Ukraine, European Commission to Hold Gas Talks in Brussels

KIEV, May 13 (RIA Novosti) – A Ukrainian government delegation, led by Energy Minister Yuriy Prodan, is due to talk gas issues with EU energy commissioner Gunther Oettinger in Brussels on Tuesday, Ukraine’s energy ministry has said.

The sides are expected to “discuss the issues of interrupted natural gas supplies from Russia to Ukraine and its transit to EU countries, and secure fair market price for natural gas, delivered to Ukraine,” the ministry said in a statement.

The talks will also focus on cooperation with European companies in the joint modernization and exploitation of the Ukrainian gas transport system, the statement said.

Russia’s Gazprom said late last month any disagreements with Kiev could potentially disrupt the energy giant’s gas exports to Europe through pipelines transiting Ukraine.

The company voiced concerns that Ukrainian state-run gas company Naftogaz could fail to fulfill its commitments on gas transit, siphoning off gas destined for European consumers.

To reduce risks, Gazprom in particular is taking active steps to broaden its sales markets.

Gazprom said it would stop deliveries of natural gas to Ukraine if Kiev failed to pre-pay by June 2.

According to Gazprom, Ukraine’s accumulated debt for previous deliveries totals $3.5 billion.