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Russia, Ukraine to determine lease payment procedures for Sevastopol naval base after 2017

Russia, Ukraine to determine lease payment procedures for Sevastopol naval base after 2017 19.01.2011
Text: Interfax
Photo: Alexei Kudrin. Russian Ministry of Finance
In the nearest two months Russian and Ukrainian financial ministries will prepare bilateral agreement in pursuance of the document prolonging Black Sea Fleet (BSF) deployment in Ukraine, said Russian vice premier and Minister of Finance Alexei Kudrin summarizing the meeting with his Ukrainian counterpart Fedor Yaroshenko.

According to Kudrin, in the new agreement the parties should determine procedure of consideration for gas price discounts as a source of lease payment for BSF naval base in Sevastopol after 2017.

He pointed out that certain parameters had not been determined yet, since they would depend on "the fact of gas deliveries, volumes and actual price which will determine the sum of considerable discount". Kudrin reminded that the Russian-Ukrainian agreement signed in Apr 2010 specified conditions for such discount determination when gas price is higher and lower than $336 for 1,000 cubic meters.

In his turn, Ukrainian minister of finance F. Yaroshenko said: "It is very important that we understand each other; we should develop a unified technique to be really implemented. We have agreed that the steps would be prompt".

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