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Moldova to continue receiving Russian gas via Ukraine - president Dodon

Moldova to continue receiving Russian gas via Ukraine - president Dodon Igor Dodon, Moldova's president

CHISINAU (Moldova), December 23 (SeeNews) - Moldova will continue to receive Russian natural gas via Ukraine starting January 2020 after Moscow and Kiev reached a gas transit agreement, Moldovan president Igor Dodon said on Monday.

"As you know, Russia and Ukraine have concluded an agreement, and this means that gas will continue to come to Moldova as it did before," Dodon said during a press briefing streamed on the website of the president's office.

On Saturday, Russia and Ukraine reached an agreement to continue the transit of Russian gas to Europe for five years, the Ukrainian government said in a statement published on its website.

"This also means that we will not need alternative ways to receive gas, namely a $50 million credit from the European Bank of Reconstruction and Development (EBRD), which we could have used for gas purchases," Dodon added.

On December 12 , the EBRD said it has pledged $50 million (45.1 million euro) to help Moldova secure natural gas for the coming winter in case of disruption in supplies.

"Moldova, which relies on gas from Russia and has no storage for the fuel, faces the risk of disrupted supply should Russia and Ukraine fail to extend a gas transit agreement that expires on December 31," the EBRD said in a press release at the time.

The EBRD pledged to issue an on-demand, standby letter of credit of up to $50 million to guarantee payment obligations of the Moldovan state energy importer Energocom. The financial arrangement will enable Energocom to purchase one month of natural gas supply from Ukrainian oil and gas company Naftogaz to avoid any gas supply risk.

($=0.8998 euro)