Gazprom CEO Alexei Miller held talks with Naftogaz Ukrainy chief Andriy Kobolev in Vienna on Wednesday.

"Agreement was reached on all fundamental bilateral issues with Ukraine," Miller said on NTV television.

"We expect that an agreement with the participation of the European Commission will be signed next week and supplies of Russian gas on a prepayment basis will resume on October 1," Miller said.

"In the next few days Naftogaz Ukrainy will ask Gazprom for a discount on the customs duty element and, as in previous periods, Gazprom will forward the request to the Russian government. The price level will be comparable and competitive with those for EU countries neighboring Ukraine," Miller said.

"Gazprom will refrain from take-or-pay conditions in the coming two quarters," he added.

"As of today Ukraine has received $500 million in financing from European structures, enough to buy about 2 billion cubic meters of gas from Gazprom, which is of course insufficient to make it through the cold weather season risk free. Our work continues," he said.

Russia and the European Commission agreed the terms of the winter package for Ukraine last Friday. It is due for signing once the Ukrainian side agrees the terms.