Financial Times FT.com

Energy Security

Russia breaks ties with gas middleman

By Catherine Belton in Moscow and Roman Olearchyk in London

Published: February 12 2008 20:29 | Last updated: February 12 2008 20:29

Russia and Ukraine on Tuesday agreed to cut out a controversial Swiss-registered trading company at the heart of a dispute between the two nations, as Kiev and Moscow settled a broader deal over natural gas debts.

RosUkrEnergo – 50 per cent owned by Gazprom, the Russian state gas monopoly, and 50 per cent by two Ukrainian businessmen – has been a bone of contention between the two capitals. It won a monopoly on Gazprom’s supplies to Ukraine following a standoff over prices in 2006.

You have viewed your allowance of free articles. If you wish to view more, click the button below.

Read this