Russia's Gazprom Agrees to 15% Gas Price Cut for Greece's DEPA
Russian energy giant Gazprom has agreed to a 15% gas price cut for Greece's state-owned gas company DEPA.
The gas price cut is to be applied retroactively as of July 1, 2013, according to reports of Greece's Energy Ministry, as cited by ekathimerini.com.
The new contract extends the existing agreement between the two gas companies by 10 years until 2026.
The two companies were in talks for the new contract for several months as DEPA sought a gas price cut by around 20%, threatening to refer the matter to arbitrage authority if the parties failed to reach agreement.
Under the new agreement, the Greek gas company will receive 2.5 – 3 billion cubic meters of natural gas a year.
The new agreement stipulates a price tag of below USD 400 per 1000 cubic meters, down from the USD 470 DEPA pays now, according to sources close to the matter.
- » Bulgaria Risks Losing EU Funding of EUR 45 M for Gas Link with Greece
- » Bulgaria's Energy Sector Most Vulnerable Among 75 Countries
- » Turkey OKs South Stream Environmental Impact Assessment
- » Bulgarian Energy Holding Puts Off Gazprom Loan on South Stream
- » Bulgaria-Romania Gas Link Suffers Further Delay
- » EC Recommends To Serbia To Suspend Work on South Stream Pipeline