BELARUS NEWS AND ANALYSIS

DATE:

10/01/2007

Belarus Said It Compromised with Russia

Russia's President Vladimir Putin and Belarus' President Alexander Lukashenko have worked out a compromise that will sort out the problems with Russia's crude transit to Europe, the news service of Belarus' president announced. In the next effort, prime ministers of both states will elaborate respective proposals and submit them to presidents by January 12.

Of interest is that the Kremlin has said nothing about the compromise so far. "During the talks, the issues of economic cooperation of the RF and Belarus, including the power industry with problems of Russia's crude transit via Belarus, were being discussed," the news service of Russia's president announced as quoted by RIA Novosti.

On January 1, Belarus imposed duties on crude transit to Europe. As Moscow refused to pay, Minsk started withdrawing the crude from Druzhba pipeline with no sanction of Russia. On January 8, Russia's pipeline monopoly, Transneft, suspended deliveries in this direction, which hit supplies to Europe.

Russia will proceed with negotiations with Belarus no sooner than the latter lifts transit duties, Russia's Economic Development Minister German Gref made clear yesterday.

Source:

http://www.kommersant.com/p-9831/Crude_transit_compromise_/

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