Naftogaz seeks $1.37 billion from Russia’s Gazprom following arbitration victory
Ukraine’s national oil and gas company Naftogaz has submitted a payment demand to Russia's Gazprom, claiming $1.37 billion in line with a final arbitration decision from Zurich, dated June 20, 2025, as announced by Naftogaz's press service on Tuesday, June 24. The Ukrainian energy company states that the figure covers the principal debt for gas transit services under a 2019 agreement, penalty fees, and legal expenses incurred by Naftogaz.
"If Gazprom declines to comply with the decision voluntarily, Naftogaz will launch a strategy to forcibly recover assets from the Russian company," the statement says.
The arbitration centered on Gazprom's cessation of gas transit payments in May 2022, breaching contractual obligations based on "take or pay" principles. Naftogaz initiated arbitration in September 2022, which Gazprom attempted to block through Russian courts. Eventually, a tribunal consisting of arbitrators from Sweden, Switzerland, and Israel ruled in favor of Naftogaz.
Simultaneously, Naftogaz continues enforcing an arbitration ruling for Russia to pay $5 billion for the unlawful expropriation of assets in Crimea in 2014, according to Naftogaz's press service.
"The enforcement process is ongoing in ten jurisdictions at various stages. Finland and France have already seen initial results with Russian assets being seized. Work continues in other nations, but further details are not disclosed due to legal strategy considerations," Naftogaz reports.