Ukraine expects new gas talks with Russia

KIEV, June 14 (Reuters): Ukraine is expecting delegations from Russia and the European Commission to arrive in Kiev on Saturday to resume talks on a gas pricing dispute, a Ukrainian government source said.
Russia has threatened to cut off natural gas supplies to Kiev if it does not pay $1.95 billion in debts by Monday, a move that could cause disruptions in supplies to the European Union.
Russia said on Friday it was not planning to hold more talks over the weekend but the Ukrainian government source said: "The arrival of the representatives of the European Commission is already confirmed and now we are waiting for confirmation from the Russian side."
The EU's energy commissioner, Guenther Oettinger, has been mediating the talks.
Ukrainian Energy Minister Yuri Prodan proposed on Friday starting a new round of talks in Kiev or, failing that, in another European city.
Russia initially demanded at the talks that Ukraine should pay $485 per 1,000 cubic metres of gas but then offered to remove the export duty, a move that would cut the price to $385 - around the average amount paid by Russia's European clients.
Ukraine had held out for $268.5 until Friday, when it said it was ready to pay $326 for an interim period of 18 months while a long-term price was worked out.