Russia and Ukraine remained in a stand off on energy pricing on Friday, as gas deliveries to Europe continued practically uninterrupted, according to DPA. Officials at the Russian natural gas monopolist Gazprom said management was "taking a short break" to review the situation, and that for the present a total cut-off of supplies to Ukraine remained in effect. Volumes of natural gas traveling to Europe via Ukrainian pipelines was as on Thursday, the first day of the Russian embargo, slightly down. Gazprom and Ukraine are locked in a complex dispute concerning Russian natural gas prices to Ukraine, Ukrainian gas transshipment prices to Russia, resolution of a billion-dollar-plus debt owed to Gazprom by Ukraine, and the signing of a gas delivery contract between the two countries for 2009. Downstream consumers in EU nations were reporting no overall supply problems, due to increased storage of domestic reserves, and a moderate increase in Gazprom gas transiting Belarus. Ukrainian consumers likewise had full access to gas despite the Gazprom decision to end supplies to Kiev because of a gas pricing dispute. Natural gas accumulated in reservoirs by the Ukrainian natural gas monopolist Naftogaz Ukrainy could tide Ukraine over for at least 45 days. Were Kiev to take the decision to siphon Gazprom gas held in Ukrainian reservoirs sufficient volumes would be present to supply Ukraine through the entire Winter, according to an Interfax news agency report. Ukrainian security personnel on Thursday prevented Gazprom auditors from inspecting holding facilities containing gas owned by Gazprom, in a possible portent of Ukrainian intent to siphon gas if necessary.
