Naftogaz sues Russia for $2.6bn

Naftogaz, Ukraine’s state-run oil and gas enterprise, has filed a lawsuit against Russia in the international courts demanding $2.6bn in compensation for losses incurred by the  ‘unlawful seizure’  of assets owned either directly by the holding company  or through six of its subsidiaries after the annexation of Crimea over two and half years ago.
“After the illegal invasion and occupation of the Crimea peninsula in 2014, the Russian Federation has adopted an ambitious and well-coordinated scheme of deprivation of Ukrainian companies of their property without compensation”, it claimed in a statement issued on Monday.
According to Naftogaz’s own calculations, the group has lost access to 15 fields; three new promising areas of hydrocarbons on the peninsula itself; its  offshore underground gas storage  facilities at Glebovsky; more than 1,200 km of newly-laid main gas pipelines; 43 gas distribution stations;  29 boats; and four floating drilling rigs, including its  high-tech Petro Godovanets and Nezalezhnist flagships. It has also had to write off deposits totalling around 50bcm meters of gas, 3.5m tons of oil and 1m tons of gas condensate, it claims.
Most of the deposits are officially owned by the former Naftogaz subsidiary Chornomornaftogaz that was appropriated by the Crimean parliament in the run-up to the annexation of the peninsula in March 2014 and turned over to Gazprom; and while Russia has consistently claimed that its actions were driven by issues of sovereignty,  it will certainly not have escaped Moscow’s notice that in seizing the Crimean land mass, it also acquired a maritime zone three times as big with the rights to  underwater resources potentially worth trillions of dollars.

Source: Vedomosti