Czechs say Russian oil supply at promised levels

Fri Aug 1, 2008 5:09pm BST
 
Email | Print | | Single Page
[-] Text [+]

PRAGUE (Reuters) - Oil supplies from Russia to the Czech Republic have begun flowing at promised levels for August after a July cut, the biggest Czech refiner said on Friday, but an oil company source said they would still be 15-20 percent below the requested amount.

The drop in July supplies came shortly after the Czech Republic signed an agreement to host a radar base as part of a U.S. missile shield and sparked speculation that the supply reduction was retaliation from Russia.

Deliveries to the former Soviet-bloc country had been cut by around half of the usual 500,000 metric tons last month due to what Russian supplier Tatneft (TATN3.MM) said was lack of crude.

Russian officials said the cuts were not political, and Prime Minister Vladimir Putin ordered supplies to central European country be returned to full levels last week.

"It looks like the supplies (today) are in the volumes that have been promised," said Dana Dvorakova, spokeswoman for Czech refiner Unipetrol (UNPEsp.PR). "The deliveries have increased."

She said official confirmation on August supply would come next week.

A Unipetrol source said deliveries at "promised levels" meant that Russia was supplying all that it had agreed under contract, but that the amount was actually 15-20 percent lower than the firm had requested.

Vaclav Bartuska, the Czech Republic's ambassador-at-large for energy security, said other supply recipients had also received less than requested for August.

A Czech Industry Ministry spokesman said final delivery statistics for July would also be released next week.  Continued...

 

Market Update

  • UKUK
  • USUS
  • Europe
  • Asia
  • UK Most Actives

Most Popular Business News on Reuters UK

  • Articles
  • Videos