02 January 2007 10:25 [Source: ICIS news]
MOSCOW (ICIS news)--Russian gas major Gazprom said on Tuesday that it was satisfied with the agreement to export gas to ?xml:namespace>
Gazprom agreed to lower its price to $100 per thousand cubic metres (tcm) from 105/tcm on condition that
The long-term contract to supply gas to Belarus involved "a gradual transition to market prices for gas in four years,'' Gazprom CEO Alexei Miller said.
The price will rise gradually, hitting 67% of European levels in 2008, 80% in 2009 and 90% in 2010. It will reach European levels in 2011, Miller said.
The deal, reportedly clinched just two minutes before midnight on New Year’s Eve, helped to avoid a repeat of the events of January 2006 when Gazprom briefly cut off gas shipments to the
However, Belarus’ new gas price, which more than doubles the 2006 figure of $47/tcm, is set to affect the country’s petrochemical sector, notably its only nitrogen fertilizer producer Grodno Azot, which consumes nearly 8% of Belarus’ total natural gas demand, sources said.
($1 = €0.75)
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