Dutch say will not increase gas output for moment

Wed Jan 7, 2009 4:07pm GMT
 
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By Catherine Hornby

THE HAGUE, Jan 7 (Reuters) - The Netherlands will not increase its gas production for the moment and wants to focus attention on resolving the dispute between Ukraine and Russia, the economy minister said on Wednesday.

Economy Minister Maria van der Hoeven would not rule out increasing gas production if the conflict went on for weeks, but said such measures would have to be decided at the European level and were not a solution to the problem.

"We have a cap on the Groningen field, and the cap is not for nothing, it has to do with the fact that we want to hang on to our gas reserves for longer," Van der Hoeven said at a meeting with foreign journalists on Wednesday.

She added that for the moment the Netherlands, Western Europe's No. 3 gas producer and the world's eighth biggest exporter, did not plan to increase output.

"You can never rule something out, but I don't see that as a good measure," she said.

"We have to focus everything on solving the Russia-Ukraine-EU problem -- and that is not something that's just cropped up now -- it's been going on for years."

Russian gas flows to Europe through Ukraine shut down on Wednesday, reducing power to industries and homes in south-east Europe and disrupting supplies to major economies.

The shutdown, triggered by a price dispute between Moscow and Kiev, hit gas supplies as far west as France and Germany as Europe faced freezing mid-winter temperatures. [ID:nL6169908].  Continued...

 

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