The Russian Ambassador in Ukraine Viktor Chernomyrdin forecasts further raise of gas cost for Ukraine.
He reported about this at a Press conference.

  "I did not hear the index of USD 180, but the price will increase. It increases annually even in Russia," he added.
Chernomyrdin called two main reasons for gas price growth.

  "Gas industry needs significant investments and to provide the country with gas, Gazprom needs more financial funds," he said.
He reported that the other reason is the increase of world gas prices.

  "Prices are growing for everything, oil and gas sectors lead the economy," he admitted.
Simultaneously he said that the price is the issue determined via talks, as there are government and companies that have to agree.
"There are many elements and much depends on skills of those people, who keep talks, but the market has to be in the base," he said.

  As it was reported earlier, in 2007, Ukraine is not purchasing natural gas of Russian origin because it conducted agreement with Uzbekistan on annual delivery of 7 billion of gas through RosUkrEnergo Company (the exclusive gas provider to Ukraine), concluded agreement with Kazakhstan on annual delivery of 8.5 billion cubic meters of gas, and has signed contracts with Turkmenistan for delivery of 42.5 billion cubic meters of gas annualy.

  Ukrhaz-Energo joint enterprise purchases natural gas from RosUkrEnergo Company at Ukrainian-Russian border and sells it to the Ukrainian industrial enterprises and heating utilities as well as to Naftohaz Ukraine national joint-stock Company for meeting the requirements of the population, the fuel and energy complex, and the state sector.
RosUkrEnergo purchases all its gas from Gazprom.

  Gazprom purchases 50% of the shares in RosUkrEnergo, the Ukrainian businessman Dmytro Firtash owns 45%, and businessman Ivan Fursin owns 5%.

  Ukraine's Naftohaz Ukrainy National joint-stock company posseses 50% of the stock in Ukrhaz-Energo while RosUkrEnergo Company possesses 50%.