EU proposing deal to ensure Ukraine gas supplies

A top European Union official is proposing a deal under which Ukraine would undertake to pay part of its gas debt to Russia, while Russia would guarantee to deliver gas over the winter.

EU Energy Commissioner Guenther Oettinger proposed after meeting the Ukrainian and Russian energy ministers that Kiev undertake to pay $2 billion to Moscow by the end of October and another $1.1 billion by the end of December.

In exchange, Russian gas company Gazprom would supply at least 5 billion cubic meters of gas to Ukraine over the coming months at $385 per 1,000 cubic meters.

Oettinger said he wants to have clarity next week on whether the two sides accept, and plans to bring them together again in Berlin late next week.