ANKARA
Ukraine’s state-owned natural gas company Naftogaz announced Tuesday that it suspended buying Russian natural gas.
"Naftogaz suspends purchases of natural gas from Gazprom starting from July 1, given the expiration of the second quarter term package and the absence of agreed supply conditions for the upcoming periods,” the company said in a written statement on its website.
The European Union, Russia and Ukraine began trilateral gas talks on Tuesday in Vienna as the current gas trade agreement between Russia and Ukraine ends as of July 1.
Russia offered a $40 discount to Ukraine on Monday for every thousand cubic meters of gas. However, Ukraine refused to agree on the discount.
"Naftogaz hopes that with the assistance of the European Commission, Russia and Ukraine will agree on a solution acceptable to all sides," Naftogaz said in its statement.
Russia provides a third of Europe’s gas needs, half of it supplied via pipelines through Ukraine.