You're reading: Miller: Implementation of South Stream depends on negotiations with Ukraine

MOSCOW - Implementation of the project for constructing the South Stream gas pipeline depends on negotiations with Ukraine, Gazprom CEO Alexei Miller told Interfax.

Commenting on the prospects for the South Stream project in the context of negotiations on cooperation in the gas sphere with Ukraine, Miller said: "South Stream was always tied to Ukraine."

As of today, Ukraine is the main transporter of Russian gas to Europe. In January 2006 and 2009, disputes between Ukraine and Russia led to a halt in Russian gas transit to Europe.

Gazprom has claimed multiple times that it is impossible to control gas transit volumes through Ukraine – it said that the country picks off as much as it can from the transit flow, rather than as stipulated under its gas supply contract.

The design capacity of the two new gas pipelines – Nord Stream (55 billion cubic meters (bcm)) and South Stream (63 bcm) – equals the amount of Russian gas transit to Europe.

Kyiv has long defended the inalienability of government control over Ukraine’s gas transport system.

However, as of late, Ukrainian bureaucrats have spoken of Kyiv’s growing concerns over the fate of its gas transport asset in connection with the launch of alternative gas transport projects.