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 Ukraine Plans to Replace Russian Gas With Cheaper Caspian

Ukraine plans to replace almost half of Russian fuel by cheaper Caspian one and holds negotiations with Baku.

Earlier profile Minister Boyko urged Turkish and Azerbaijani counterparts to build a new southern pipeline so that it was profitable Ukraine, TSN reports.

Azerbaijan's proposal was perhaps the most important news of the energy summit in the capital of Turkey.

The delegation spoke about the intention to seriously competing with the Russian "South Stream" and deliver up to 50 billion cubic meters annually. This is almost half of what Russia's current supply to the West.

Azerbaijan is ready to sell gas from new Caspian fields. It will be much cheaper than the Russian one.

Exporters promise to finalize the transit route in six months and to build the system until 2016.

Ukrainian official urged Azerbaijanis to lay pipeline closer to Ukraine, citing the advantages of local storage facilities and the existence of networks that can be used today.

And while Baku hesitates, Kiev has already announced its readiness to buy Caspian gas through the sea - in a few days Ukraine will begin construction of the terminal which will be able to accept from 5 to 10 billion liquefied natural gas annually.

This should take about 3 years. Meanwhile Ukraine will develop its own shale gas deposits in the Black Sea. The ultimate goal is to completely abandon the Russian imports.

 
 
 
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