Ukraine to recapitalize Naftogaz prior to Russian talks

摘要

Kiev—The Ukrainian government on Thursday decided to issue bonds to recapitalize national energy company Naftogaz Ukrayiny, a move that signals the company may be preparing to pay its Russian gas debts ahead of further trilateral talks. The government will raise Naftogaz’ capital by Hryvnia 22.23 billion ($1.93 billion), an amount almost equivalent to the debt Naftogaz owed Russian gas company Gazprom as of April 1. Russian officials have said Naftogaz must pay at least $2.2 billion in gas debt to Gazprom this week to open the way for talks to prevent a cut off of gas supplies on June 3. The government will issue Hryvnia 22.23 billion in government bonds with the proceeds to be used to buy a new share issue in Naftogaz, according to a resolution posted on the government’s website. The resolution was approved on Thursday.