New Gas Price From Turkmenistan Makes Russian-Ukranian Relations Mor

NEW GAS PRICE FROM TURKMENISTAN MAKES RUSSIAN-UKRAINIAN RELATIONS MORE COMPLICATED
By Petros Keshishian

AZG Armenian Daily
22/06/2006

Turkmenistan is going to raise the price for its gas twice from the
second half of 2006. Vedomosti newspaper informed that the price
for the gas will make $110-125 per 1000 cubic meters. As a result,
the gas agreement signed between Russia and Ukraine will be broken.

Aleksey Miller, head of Gazprom Board, and Safarmurad Niyazov,
President of Turkmenistan, discussed the issue of gas prices and
volumes, this week. The sides failed to come to agreement. Vedomosti
cited Niyazov who said that the gas of the same volume will be imported
to Russia for $110-125 per 1000 cubic meters.

If Niyazov makes no concessions, Gazprom-Ukraine agreement will
not come to life. Taking into account the new price, the gas from
Turkmenistan will cost at last $140 while reaching the Ukrainian
border. Yet, the Russian-Ukrainian agreement envisages $95 per 1000
cubic meters.

"Ukraine will not agree to increase of the gas price, as that will
mean collapse of the national economy," Ivan Diyak, assistant of
president of Ukraine, said.