You're reading: Boiko and Miller discus strategic cooperation and gas transit to Europe

 Ukrainian Energy and Coal Industry Minister Yuriy Boiko and Gazprom CEO Alexei Miller met on Monday and discussed strategic cooperation in the gas sector, the ministry said in a statement. 

The statement said that both sides focused on ensuring reliable transit of Russian gas to European countries in the autumn-winter period of 2012/2013.

Earlier Boiko and Deputy Head of National JSC Naftogaz Ukrainy Vadym Chuprun announced a significant reduction in Ukrainian purchases of Russian natural gas in the coming years.

Naftogaz Ukrainy plans to purchase 26 billion cubic meters of Russian gas this year. Purchases next year should come to 20 bcm.

The steep decrease in imports of Russian gas in 2013 should be compensated with purchase of around 5 bcm in gas from Europe under reserve flow, which will help Ukraine save around UAH 2 billion.

Ukraine is unsatisfied with the price it purchases Russian gas according to a 2009 contract. In turn, Russia believes that the reduction in purchases contradicts the current contract and has not ruled out court action.

Naftogaz Ukrainy imported Russian gas at $416 per 1,000 cubic meters in the first quarter of this year, second quarter – around $425 per 1,000 cubic meters, third quarter – around $426 per 1,000 cubic meters, and fourth quarter – around $430 per 1,000 cubic meters.

According to Ukraine’s State Statistics Service, imports of Russian gas in 2011 totaled 40 billion cubic meters at a value of $12.361 billion.

The forecast balance for reception and distribution of natural gas this year puts Naftogaz Ukrainy’s imports at 27 bcm. In addition, businessman Dmytro Firtash’s Cyprus-based Ostchem Holding Ltd will import 8.124 bcm.