Austria, Hungary accept Russian conditions on gas supplies
German energy company Uniper has stated that the suspension of Russian gas supplies to Poland will not affect the transit through the Yamal-Europe gas pipeline to Germany.
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Gazprom announced a complete suspension of gas supplies to Bulgaria and Poland. (EPA)
According to the Austrian Chancellor Karl Nehammer, Austria has accepted Russia's conditions on payment for gas supplies in rubles.
Russian energy giant Gazprom announced on Wednesday that it had completely suspended gas supplies to Bulgaria's largest natural gas distribution company Bulgargaz and Polish oil and gas company PGNiG, as the companies failed to pay for gas in rubles.
Nehammer announced the decision on Wednesday, adding that the Russian President assured the safety of gas supplies.
In response to the suspension of Russian gas supplies to Bulgaria and Poland, Austrian Chancellor Sebastian Kurz stated that, according to his understanding, both nations rejected the revised payment terms.
Read more: Gazprom: Europe's UGS reserves at multi-year lows
During a press conference, Nehammer stated, "We, [the Austrian oil and gas company] OMV, accepted the terms of payment, Germany did the same ... It was important for us, and therefore, during our conversation [during Nehammer's visit to Moscow earlier in April], Putin assured that gas would continue to be supplied and can be paid in euros. This situation has not changed for us."
According to Austrian Energy Minister Leonore Gewessler, Russian gas has been and is being delivered to Austria without disruptions.
On Tuesday, the Polish oil and gas firm PGNiG announced that it had received information from Russia's Gazprom that gas supplies will be totally terminated beginning April 27 owing to the Polish side's refusal to pay for Russian gas in rubles.
In a press conference, Gewessler said, "In the past days, gas was supplied continuously, at the moment, gas is being supplied to Austria without disruptions."
Hungary secures its supplies too
According to Hungarian Foreign Minister Peter Szijjarto, Russia's decision to halt gas supplies to Bulgaria would have no effect on transit to Hungary.
"I would like to assure everyone that the refusal to supply gas to Bulgaria does not mean the termination of transit through Bulgaria. Of course, tomorrow, we will also consult with our Bulgarian partners, but so far, all participants have confirmed this information," Szijjarto was quoted saying by hirado.hu news.
Natural gas supplies to Hungary are running in accordance with the relevant contract between the sides and schedule, the minister added.
German energy company Uniper: Gas supplies not affected
Niek den Hollander, the CCO of German energy company Uniper, stated Wednesday that the suspension of Russian gas supplies to Poland will not have an effect on the transit through the Yamal-Europe gas pipeline.
"There will be no deliveries to the national [Polish] company, PGNiG. According to our estimates, this is about 7 billion cubic meters that are left to be supplied this year to this particular counterparty. But here you need to understand that we are talking about an agreement between this counterparty and Gazprom. Therefore, it will not have any effect on transit through Poland."
According to the CCO, companies using the Yamal-Europe pipeline continue to have the opportunity to do so.
The German corporation believes the new payment system does not violate sanctions and is viable.
The CCO also stated that Uniper will continue discussions with the German government on paying for Russian gas in rubles, noting that the next payment is expected in late May.
