Turkey Files Gas Price Claim Against Gazprom as Pipe Talk Stalls

  • Turkey's state-run Botas notified on pricing claim on Monday
  • Botas sought 10% of discount amid Russia-Turkey gas link talks

Turkey filed a natural gas pricing claim against Russia, as talks over a Black Sea link that would bypass Ukraine stalled.

Botas Boru Hatlari Ile Petrol Tasima AS notified on Monday an export arm of Russia’s Gazprom PJSC that it is seeking a price revision dating back to December, the Ankara-based energy company said Tuesday in a statement. Russian President Vladimir Putin promised a 10 percent discount to Botas, which buys about two thirds of Russian gas supplied to the country, before talks on the pipeline stalled in the summer.

There’s still a possibility for both out-of-court accord or arbitration ruling on the case, Sergei Kupriyanov, a Gazprom spokesman in Moscow, said Tuesday by phone.

Turkey is the second-largest foreign market for Gazprom after Germany with about $10 billion in revenue last year. Russia’s military build up in Syria also contributed to the tensions with Turkey earlier this month.

Gazprom halved the size of the proposed link to Turkey earlier this month, saying the deal is possible after the country holds parliamentary elections on Nov. 1.

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