BELARUS NEWS AND ANALYSIS

DATE:

05/01/2010

Minsk denies reports on cessation of oil supplies by Russia

The Belarusian Belneftekhim oil concern denied on Monday reports by some media outlets on the cessation of oil supplies from Russia.

"The information [on the cessation of oil supplies] is false, oil is being supplied to Belarus both for transit and processing," a Belneftekhim spokeswoman said.

She said difficulties which took place during talks between Russia and Belarus over the supply and transit of oil in 2010 did not affect the country's refineries, which, she said, "continue operating in the same regime."

The two countries failed to sign an agreement on oil supplies in 2010 before the end of 2009. Russian officials have said that until an agreement is reached, Belarus will have to pay the full duty on oil it receives.

The dispute between Russia and Belarus has raised fears in Germany and Poland that supplies may be affected, as they were during a similar dispute in 2007.

Mikhail Barkov, vice-president of Russia's Transneft oil pipeline monopoly, said on Sunday that oil transit via Belarus would not be reduced under any circumstances, but oil deliveries to the former Soviet republic depended on Minsk's position.

An aide to Russia's energy minister said on Sunday Russia and Belarus would continue discussions on the issue on Monday.

Belarus benefited from significant discounts on Russian oil imports in 2009, and is seeking a similar deal this year. Russia says it is willing to eliminate all duties on oil supplied to Belarus for domestic consumption, but wants oil bound for European markets to be subject to duty.

A Belarusian government source said on Saturday that Russia's position at negotiations on a 2010 agreement for oil deliveries to Belarus is seriously undermining the new Customs Union between Belarus, Russia and Kazakhstan.

Ria Novosti

Source:

http://www.news.az/articles/5833


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