World Bulletin / News Desk
Russia's Gazprom will repay about 1 billion euros ($1.28 billion) to its European clients by the end of the year as part of an agreement to cut gas prices, a company official said on Monday.
The state-run gas producer had agreed to tweak long-term deals with key European customers who claimed that its prices were too high and it returned more than 78 billion roubles ($2.43 billion) in the first quarter.
The repayments failed to stop the European Commision from launching an investigation into Gazprom last week. The Commission is to look at suspected anti-competitive practices in central and eastern Europe and could issue fines of up to $5 billion.
Deputy Chief Executive Alexander Medvedev told a conference call on Monday that the new payments would be "significantly lower" than in the first quarter and would total about 1 billion euros, "plus or minus 10 to 15 percent".
The bulk of this will go to German utility E.ON.
The European Commission's action continues what has been a tense relationship between the European Union and Moscow over energy policy as European governments seek new sources for their gas.
Lithuania and the Czech subsidiary of RWE, Germany's second-biggest utility company, had both been trying to negotiate better deals on their gas from Russia, while Poland's PGNiG went as far as bringing Gazprom into an arbitration court.
Gazprom last week reported a 24 percent fall in first-quarter net profits because of its repayments so far and said that it was ready to cooperate with the European Commission investigation.
Medvedev added that he will soon meet a deputy competition commissioner to discuss the investigation face to face. ($1 = 0.7812 euros)
Some EU member states remain nervous about the impact on their own fragile economies. The sanctions deal was agreed only after initial proposals were narrowed.
Bankers in Singapore say Russians looking for a new Cyprus have come to the wrong place.
The default could get much messier and take longer to clear up if creditors force an "acceleration" for early payment on their bonds.
The ban came a day after the European Union and United States imposed their first sanctions aimed at hitting broad sectors of the Russian economy
Russia called new U.S. sanctions "destructive and short-sighted"
While the default will obviously hurt the economy, it will not be as severe as in 2001, economists say
The Czechs, who supported the action, have been against sweeping sanctions, worried about trade relations with Russia
The trade program has been criticized for disproportionately benefiting certain industries and a handful of countries, including Nigeria, South Africa and Angola.
The United Kalavrvta tanker, carrying some 1 million barrels of crude worth about $100 million, arrived off the coast of Texas on Saturday but has yet to unload its disputed cargo.
The uncertainty comes at a bad time for the 18 countries in the euro zone, whose economy is already in the doldrums.
"Kalashnikov regrets that consumers are faced with such a problem," said spokeswoman Yekaterina Boni.
Cairo and Khartoum had earlier accepted a proposal by Addis Ababa to hold the talks in Sudan in the third week of August.
Discounting the bulk of Japan's 48 reactors due to their long-term outage, the report said the number of operating units in the world has fallen to 388, 50 less than the peak in 2002.
Over 200,000 NUMSA-affiliated metalworkers declared a nationwide strike on July 1 to demand a 15-percent pay raise for laborers and a ban on labor brokers
The council said in a statement that any trade in oil ISIL or Nusra Front, would violate United Nations sanctions as both groups have been blacklisted.
The project is being implemented in collaboration with the Ethiopian and Norwegian governments at a cost of over $2.8 million.