Slovakia's SPP, Partners Urge Continued Ukraine Gas Transit

(Reuters) — Slovakia's main gas buyer SPP said on Tuesday it and other groups from Hungary, Austria and Italy had signed a declaration in support of continued natural gas transit through Ukraine.

"The declaration that we have prepared in SPP is intended to support the continuation of gas transit through the territory of Ukraine and the preservation of its gas infrastructure, because it is the most advantageous solution not only for gas consumers in Europe, but also for Ukraine itself," SPP chief executive Vojtech Ferencz said in a statement.

Slovakia and other countries receiving gas from Russia via pipelines in Ukraine are in talks to try to avoid those flows stopping when an existing transit contract between Kyiv and Moscow expires at the end of the year.

Ukrainian Prime Minister Denys Shmyhal said on Monday that Ukraine was willing to come up with a deal enabling gas to transit through its territory, but he ruled out any extension of an existing deal with Russia.

Slovak Economy Minister Denisa Sakova has said European countries and companies have a combined demand of around 15 billion cubic meters of Russian gas next year via Ukraine.

SPP said its declaration was signed by Slovak pipeline operator Eustream, Hungarian groups MVM and MOL, along with industry associations from Italy, Austria and Hungary.

SPP's Ferenc said the groups would present their declaration to European Commission President Ursula von der Leyen.

In SPP's case, Ferenc said the loss of supplies from the east would cost it an additional 150 million euros ($157.28 million) due to higher transit fees. The cost for the entire Slovak market would reach 220 million euros.

($1 = 0.9537 euros)

Related News

Comments

{{ error }}
{{ comment.comment.Name }} • {{ comment.timeAgo }}
{{ comment.comment.Text }}