Gazprom Export, a subsidiary of the Russian energy giant Gazprom, has announced that it will discontinue gas deliveries to GasTerra from Tuesday due to its rejection to make purchase in rubles.
Gazprom Export claimed that the payment deadline in the contract, which was Monday, had passed and Gazprom did not receive any payments from GasTerra for gas supplied in April.
According to Gazprom, GasTerra said it did not intend to make payment for the gas supplied in Russian rubles, and that it intended to stop deliveries from May 31 until a payment is made in conformity with a Russian presidential directive dated March.
On March 31, Russian President Vladimir Putin signed a law regulating natural gas trade with “unfriendly” nations and areas. Contracts that have already been made would be discontinued if these purchasers refused to pay in rubles, according to the order.