Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

Moldova's Gazprom unit fined $1.9M over non-compliance with gas transport separation rules

EditorRachael Rajan
Published 15/09/2023, 17:38
© Reuters.

Moldova's energy regulator, ANRE, fined Moldovatransgaz, a subsidiary of Moldovagaz in which Russia's Gazprom (MCX:GAZP) owns a 50% stake, $1.9 million for failing to comply with the requirement on the separation of gas transporting activities from those of a supplier. The announcement was made today, Friday.

Moldovatransgaz was unable to ensure its independence from Moldovagaz, a vertically integrated public natural gas supplier. Gazprom owns 50% of Moldovagaz, with the Moldovan government holding a 35.33% stake and the remainder owned by the government of Transnistria, a pro-Russian separatist republic in eastern Moldova.

This fine follows an international audit that revealed earlier this month that Moldovagaz owed Gazprom $8.6 million, contradicting a $709 million historical debt claim made by the Russian company.

In response to Moldovatransgaz's failure to comply with unbundling requirements, Romania's gas transmission company Transgaz [BSE:TGN] announced on Monday that it had signed a tenancy agreement to take over the operation, exploitation, dispatching, and transmission of gas in neighboring Moldova from Moldovatransgaz. This agreement will be effective starting September 19, 2023.

The Romanian state holds a majority stake of 58.5% in Transgaz, with the remainder freely floating on the Bucharest Stock Exchange. As of today, Transgaz shares traded 0.33% higher at 18 Romanian lei ($3.9/3.6 euro) on the Bucharest Stock Exchange.

Gas supplies have been a longstanding source of tension between Moldova and Russia since Moldova declared independence from the Soviet Union in 1991. This latest development underscores the ongoing complexities of energy supply and regulation in the region.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.