Russian gas supplies to France cut by 70 percent

PARIS (Reuters) - Russian gas supplies to France plunged by 70 percent on Tuesday in a deepening price dispute between Russia and Ukraine, GDF Suez said, adding it would ensure security of supply to all its customers.

France, which only imports 15 percent of its gas supplies from Russia, does not rely on gas in the same way as Germany or Italy because 80 percent of its electricity is produced by nuclear energy.

"GDF Suez has today recorded a very significant drop by over 70 percent in France," the French gas firm said in a statement.

Russia's state-controlled gas firm, Gazprom, halted supplies to Ukraine on New Year's day over gas bill debts and a disagreement over 2009 gas prices.

"All the necessary measures have been taken to guarantee the continuity of natural gas supplies for all GDF Suez customers in France and in Europe," the group added.

This was thanks to the Group's sourcing portfolio, which according to the firm is the most diversified in Europe with nine sources, as well as its access to short-term markets and storage facilities, it added.

Russia represents 15.8 percent of French gas imports, behind Norway's 21.1 percent. The Netherlands, Algeria and Egypt also supply gas to GDF Suez.

Germany warned on Tuesday there could be gas shortages in Europe's biggest economy if the dispute between Moscow and Kiev lasted much longer and freezing temperatures lasted.

Gazprom says it usually exports about 300 million cubic metres of gas per day to Europe via Ukraine during the winter.