Slovakian SPP Pay for Gas in Euros

Slovakian gas importer SSP has paid for Russian gas in euros but has also opened a ruble account with Gazprombank the company CEO Richard Prokypcak has said on a televised interview with RTVS today.

• "It is in euros also because the bill itself was issued in euros by Gazprom. Following that, the money was sent to a Gazprom account and I have confirmation that the payment has been received," Prokypcak said.
• The EU has been unclear how gas buyers in the EU should settle payment with Gazprom. Russia has demanded payments be settled in rubles while the EU has advised they are settled in the payment method the contract was issued under. The vast majority of contracts with EU companies were set up in dollars and euros.
• "Monetary conversion is underway that will be concluded by handing roubles to Gazprom, and following that, natural gas supplies continue," he added
• EU gas buyers have been hesitant to pay for Russian gas in euros for fear of breaking sanctions.
• "The foreign exchange conversion is outside any control of SPP, for us really the important moment of fulfilling our commitment is the euro payment," according to Prokypcak.
• A number of gas payment deadlines with Russia are coming up in the days ahead. Italy’s ENI have a deadline today. The company has opened a ruble account with Gazprombank but it is not clear how they will settle the gas bill with Russia.
• Russia has threatened to cut off supplies to anyone not willing to pay in rubles.