In order to settle the dispute over gas transit between Russia and Ukraine, Gazprom, the Russian power company, has agreed to pay $ 2.9 billion to its Ukrainian competitor Naftogaz, Gazprom said in Moscow. Russia and Ukraine had already agreed on a new gas transit agreement on Friday after the previous agreement expires at the end of 2019.
With the payment of Gazprom to Naftogaz, a one-year legal dispute between the two parties is finally ended. The Stockholm International Arbitration Court ruled in February 2018 that Gazprom would pay nearly $ 2.6 billion to Naftogaz to settle all disputes. With penalty payments, the total now amounts to $ 2.9 billion.
Gazprom agreed to pay as part of the negotiations on the new transit agreement, as Russian news agencies reported, citing chief executive Alexei Miller. The basic agreement on the new agreement was reached on Thursday through the EU and Germany in Berlin. On Friday, both countries sealed the agreement without first giving details.