The
conflict between Russia’s largest gas company and Ukraine has continued to
escalate and now Gazprom has accused the country of stealing gas that was
intended for other European countries.
Gazprom
shut off supplies to Ukraine on Thursday after the country reportedly failed to
settle an outstanding debt of more than $1.5 billion and did not sign a new
price contract for 2009. While Russia has stopped shipping to Ukraine they have
not stopped shipping through Ukraine, a major route for pipelines distributing
gas to the rest of Europe.
Ukraine
had said they would not interrupt the transportation of gas but now Russia has
accused the state gas company of siphoning gas from the pipelines. Ukraine has
denied the accusations and have said they have plenty gas in reserve to operate
for at least five months.
Talks
between the two sides broke down earlier this week when a new price contract
could not be reached.
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