Ukraine To Pay USD $280 Per Thousand Cubic Meters Of Gas In 2011

MOSCOW, Russia -- Interfax reported that Ukraine will pay an average of USD $280 per thousand cubic meters of gas in 2011.

Anatoly Podmyshalsky

Mr Anatoly Podmyshalsky head of the Russian gas giant department for CIS countries said the price of gas for Ukraine is USD $264 this quarter and it will rise to USD $275 in Q2 2011

He said that Gazprom will pay USD $2.7 billion to USD $2.75 billion in fees for gas transit across Ukraine. He added that "Oil isn't falling so there'll be some growth. The average forecast is such."

Mr Podmyshalsky said during a roundtable on European energy issues that Gazprom planned to supply around 40 billion cubic meters of gas to Ukraine in 2011 up by 9.7% from 36.463 billion cubic meters in 2010.

He said Gazprom paid Ukraine USD $1.2 billion for gas transit in 2009 and USD $2.6 billion in 2010.

Ukraine 2011 budget envisages an average imported gas price of USD $269 per thousand cubic meters.

According to Russian-Ukrainian gas contracts signed in January 209 for the period to 2020.

The price of Russian gas is based on a formula that takes changes in the price of fuel oil and gas into account.

Source: Interfax