Gazprom suspends gas deliveries to Ukraine over Kiev non-payment, as chief executive Alexei Miller warns of “serious risk” to Europe
Russian energy giant Gazprom says it has suspended deliveries of gas to Ukraine after Kiev failed to make a pre-payment.
Chairman Alexei Miller said Ukraine's Naftogaz had failed to make the payment and delivery was halted as a result, local media is reporting.
"No new upfront payment has been made. As such, deliveries have been stopped until the receipt of new payments from the Ukrainian company," Miller is quoted as saying.
"The refusal to buy Russian gas will create serious risks for the reliable transit of gas to Europe through Ukraine and for the supply of gas to Ukrainian consumers during the upcoming winter," Miller warned.
Naftogaz was estimated to owe around $256.5m, although $234m is thought to have been paid out of a $500m pre-payment agreement.
Gazprom has been threatening to withhold gas supplies for some days now, but on Monday Ukrainian energy minister Volodymyr Demchyshyn said the country had enough gas in reserve that being cut off would not be "critical" at this stage. Reserves are estimated at around 16bn cubic metres, two billion more than this time last year.
Russia has also been threatening a ban on Ukrainian food imports because of Kiev's participation in Western sanctions.