German energy company Uniper says a tribunal awarded it billions in damages from Russia's Gazprom

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German energy company Uniper says a tribunal has awarded it more than 13 billion euros (nearly $14 billion) in damages for gas that Russia's Gazprom hasn’t supplied since 2022.

FILE - The logo of the energy supplier Uniper at the group headquarters in Duesseldorf, Germany, on July 8, 2022. German energy company Uniper said Wednesday June 12, 2024 that a tribunal has awarded it more than 13 billion euros in damages for gas that Russia’s Gazprom hasn’t supplied since 2022. BERLIN — German energy company Uniper said Wednesday that a tribunal has awarded it more than 13 billion euros in damages for gas that Russia’s Gazprom hasn’t supplied since 2022.

Uniper said the arbitration tribunal based in Stockholm also ruled on June 7 that it has the right to terminate long-term gas supply contracts with state-owned Gazprom Export, and it is now formally ending the relationship.at the end of 2022 after Russia cut gas supplies to the country.

Uniper incurred huge costs as a result of those cuts because it was forced to buy gas at far higher market prices to meet its supply contract obligations,Uniper said the ruling by the tribunal is legally binding and final, but indicated that it’s doubtful that the compensation will actually be paid. “Any amounts would flow to the German federal government,” CEO Michael Lewis said in a statement. “From today’s perspective, it is not yet clear whether significant amounts are to be expected.”

Some of Uniper’s contracts with Gazprom would have remained in force until the mid-2030s if they weren’t terminated.under the Baltic Sea, an explanation that German officials rejected as a cover for a political power play following the invasion of Ukraine.

 

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