Arbitration proceedings before the Permanent arbitration court in the Hague, initiated by Ukrnafta, for losses of Ukrainian gas companies after the reunification of the Crimea with Russia.
KYIV, 13 Jan. “Ukrnafta” demands from the Russian Federation in the Permanent court of arbitration in the Hague compensation for the loss of petrol stations of the company after the reunification of the Crimea with Russia, said the press service of the company on Wednesday.
The Hague arbitration earlier on its website released information that the company Ukrnafta has filed a lawsuit against Russia, but the essence of the claim was not disclosed.
“This arbitration proceeding initiated by June 15, 2015 for the purpose of obtaining compensation for the illegal seizure of petrol stations on the territory of the Crimean Peninsula”, — stated in the message.
It is reported that the reason for going into law was a bilateral agreement on protection of investments between Ukraine and the Russian Federation, 1998, under which each party assumed the obligation not to nationalize or expropriate the investments of investors of the other party, without prompt payment of fair compensation.
However, the press service of the company stated that it did not disclose the amount of the claim. Crimea and Sevastopol became part of Russia following the results of the March referendum in 2014. Reunification with Russia was supported by 96,77% of Crimeans and 95.6% of Sevastopol. Ukrainian authorities and Western countries have refused to accept the will of the people and has imposed sanctions in the region.
“Ukrnafta” is one of the largest oil and gas companies of Ukraine. The company’s share in the total production of oil with gas condensate in Ukraine in 2014 was 69.2 per cent, share in total gas production of 8.6%. “Ukrnafta” owns one of the largest in Ukraine network of petrol stations. The Central office of “Ukrnafta” is located in Kiev. Controlling stake in the company belongs to NJSC “Naftogaz of Ukraine”.