Gazprom OAO's Gazprom export Comments On Outcome Of Arbitration With RWE AG's RWE Transgas

Wednesday, 24 Oct 2012 08:00pm EDT 

Gazprom OAO's Gazprom export announced that the Gazprom Group considers possibilities to appeal against the decision made by the arbitration court in Vienna that refers to the fulfillment of the take-or-pay clauses of the contract for gas supply to Czech Republic, concluded earlier with the RWE Transgas, the Czech subsidiary of RWE AG. In this connection Gazprom export takes it as necessary to appeal at the Supreme Court of Austria for cancellation of this decision. The arbitration has declared valid the part of Addendum 1 to gas supply contract between RWE Transgas and Gazprom export. This part of addendum says that RWE Transgas can reduce its obligations for gas offtake (the take-or-pay) for the same amounts that the Gazprom Group directly supplies to the Czech market. At the same time, the symmetrical part of the same Addendum was declared non-valid. This part stated that Gazprom had the right to increase the obligations of RWE Transgas, on the amounts that RWE supplies outside of Czech Republic to the markets where Gazprom Group is working as well. The invalidity of the latter part was never doubted by either party. 

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