The Polish gas company said it has won from Gazprom arbitration at $ 1.5 billion – the media

Польская газовая компания заявила, что выиграла у Газпрома арбитраж на 1,5 миллиарда долларов - СМИ

Polish gas company PGNiG said that I won from Gazprom arbitration at $ 1.5 billion.

PGNiG initiated an arbitration against PJSC “Gazprom” and “Gazprom export” in 2015, with a requirement to revise the price of natural gas supplied to Poland under the contract of September 25, 1996.

He was for the supply of 10 billion cubic meters of gas per year, the minimum annual contract quantity – 8.7 billion cubic meters per year. The contract is valid until 2022.

On June 29, the Tribunal issued an interim decision on the case. The Polish company said that the arbitrators recognized the right of the Polish importer PGNiG to demand price reduction in the contract for the supply of Russian gas via the gas pipeline Yamal – Europe.

But in “Gazprom export” have noticed that the Tribunal did not agree with the proposed Polish company way price change and the price formula.

Among other things, the Tribunal did not agree with the arguments of the PGNiG that the only relevant factor for pricing in long term gas supply contracts is the price of hubs.

“Gazprom export” has not agreed with the findings of the arbitral Tribunal about the Tribunal’s authority to change the price formula in its sole discretion and on 1 October 2018 appealed to the Swedish national court with the requirement about cancellation of the first arbitral award of June 29, 2018.