BUDAPEST (Reuters) – Hungary and Slovakia are seeking ways to make payments for Russian gas that were thrown into uncertainty by new U.S. sanctions on Russia’s Gazprombank, officials said on Wednesday.
Hungarian Foreign Minister Peter Szijjarto said he would hold talks with Russian Deputy Prime Minister Alexander Novak later on Wednesday to work out a legal solution regarding future payments for shipments.
The U.S. imposed new sanctions on Russia’s Gazprombank on Nov. 21, creating an obstacle for European buyers of Russian gas. Buyers have been using Gazprombank to make the payments, including a scheme for currency conversion to roubles.
A source close to the Slovak state-owned gas company SPP, which has a long-term contract with the Russian supplier Gazprom (MCX:) and supplies most of the Slovak market, said the problem was acute as a monthly payment was coming up and there was currently no known way how to make it.
Failure to pay could prompt Gazprom to suspend shipments, the source said.
Russian President Vladimir Putin issued a decree last week cancelling the option for buyers of Russian gas to convert currency into roubles at Gazprombank.The lender said separately in a…
Read the full article here