16 June 2014
Ukraine says Russia has cut off all gas supplies, in a major escalation of a dispute between the two nations.
“Gas supplies to Ukraine have been reduced to zero,” Ukrainian Energy Minister Yuri Prodan said.
Russia’s state-owned gas giant Gazprom said Ukraine had to pay upfront for its gas supplies, after Kiev failed to settle its huge debt.
Gazprom had asked Ukraine’s state gas firm Naftogaz to pay $1.95bn (£1.15bn) of the $4.5bn it said it was owed.
It said it would continue to supply gas to Europe, although Gazprom chief Alexei Miller warned there now were “significant” risks for gas transit to the EU via Ukraine.
Ukraine has enough reserves to last until December, according to Naftogaz.
Later, the White House urged Moscow to resume talks with Ukraine, saying an EU proposal that Kiev pay $1bn on Monday and the rest in instalments was a “reasonable compromise”.
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