BELARUS NEWS AND ANALYSIS

DATE:

01/08/2007

EU says 'monitoring' Gazprom threat to cut Belarus gas supplies in payment row

BRUSSELS (Thomson Financial) - The European Commission said it is "monitoring" the situation in which Gazprom has threatened to cut gas supplies to Belarus by 45 pct by Aug 3 due to unpaid bills.

Gazprom said it would cut supplies unless the former Soviet republic pays its roughly 500 mln usd bill for the gas it has received so far this year.

A spokesman told reporters here the commission is "taking these developments very seriously" and wants both sides to resolve the issue amicably without delay.

"We are still gathering information about what exactly happened and what the reasons are," he said.

The commission invites both sides to make use of the provisions of the energy charter treaty and is ready to call a meeting of the gas coordination group -- by next week if necessary.

Source:

http://www.euro2day.gr/articlesfna/40121974/