ISSN 2330-717X

Georgia Says Signed Deal With Gazprom To Extend Natural Gas Agreement


(Civil.Ge) — Georgia and Russia’s state energy giant Gazprom have signed a deal to extend the gas transit agreement under the long-standing terms involving paying Tbilisi 10% of Russian gas, transported to Armenia via Georgia, the Georgian Energy Ministry said.

“We have the same terms, same length of contract,” Mariam Valishvili, the Deputy Energy Minister said, adding that the contract is undergoing internal procedures in the Georgian government necessary to bring it into force.

“Terms of the agreement between [the state-owned] Georgian Gas Transportation Company and Gazprom Export are unchanged – transit fee remains 10% of transported gas and the length of contract is before the end of the year,” she added.

Gazprom wanted to monetize transit fee and pay cash, instead of 10% of gas transported to Armenia via Georgia. While initially Tbilisi appeared yielding to Gazprom’s demands, after securing additional gas supplies from Azerbaijan, Georgian Energy Minister Kakha Kaladze announced in early March that after the new deal with Azerbaijan, Georgia found itself in “a stronger position” to insist on keeping existing transit terms with Gazprom.

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Civil Georgia is a daily news online service devoted to delivering quality news and analysis about Georgia. Civil.Ge is run by The UN Association of Georgia, a Georgian non-governmental organization, in frames of ‘National Integration and Tolerance in Georgia’ Program financed by USAID. Civil Georgia is also supported by Friedrich Ebert Stiftung.

One thought on “Georgia Says Signed Deal With Gazprom To Extend Natural Gas Agreement

  • April 9, 2016 at 11:41 am

    They want the gas, not the money – means the Russian gas must be less expensive and more reliable than Azerbaijani gas! What isn’t clear is why Armenia isn’t getting its gas from neighbor Azerbaijan instead of Russia. Well, the world was never simple.


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