Economy

Court in England permits freezing Gazprom's assets under Naftogaz's petition

The Commercial Court in London on Tuesday permitted freezing assets of Russia's Gazprom on the territory of the U.K. under a petition of national joint-stock company Naftogaz Ukrainy, the company has told Interfax-Ukraine.

Naftogaz recalled that this is required to secure the execution of the award of the Arbitration Institute of the Stockholm Chamber of Commerce to pay $2.6 billion by the Russian company.

Under the decision of the court in London, Gazprom within 48 hours after receiving the decision is to provide Naftogaz with a list of all its assets worth over $50,000 located in England and Wales.

Naftogaz has informed London-based offices of 17 banks doing business with Gazprom that they cannot help to reduce assets of Gazprom on the territory of the U.K.

As reported, the Arbitration Institute of the Stockholm Chamber of Commerce ordered Gazprom to pay Naftogaz Ukraine a penalty of $4.7 billion. Gazprom has filed a challenge in the Svea Court of Appeal to overturn this ruling. After the two arbitrations between the companies on gas supply and gas transit Gazprom is to pay $2.6 billion to Naftogaz.

Gazprom reported that it has learned that Naftogaz Ukrainy is undertaking actions in the U.K. on the enforced recovery under the Stockholm arbitration ruling of February 28, 2018 in the transit contract dispute between the two companies.

"These actions are being taken counter to the order of the Svea Court of Appeals suspending execution of the ruling," Gazprom said in a statement.

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