Monday, January 19, 2009

Russia, Ukraine reach gas deal

A major international story that has been barely reported here in the United States has been the gas crisis between Russia and Ukraine, which has caused a great deal of Europe to go with out heat during a very cold winter.

This now seems to be over.

Now the prime ministers of Russia and Ukraine are reported to have agreed on how to resolve their gas dispute, with an understanding that prices would be pegged to the price of oil, but with a discount for 2009 that means Ukraine could pay little more than it did last year.

Hopefully this holds, because deals have been reported in the past. The deal is expected to be signed today.

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