Austria says Russia's Gazprom will cut off natural gas supply this weekend [Yahoo! Finance Canada]
OMV AG BEARER SHS S/ADR (OMVKY)
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Source: Yahoo! Finance Canada
The cutoff follows OMV's announcement that it would stop paying for Gazprom gas to its Austrian arm to offset a 230 million-euro ($242 million) arbitration award it won over an earlier cutoff of gas to its German subsidiary. Chancellor Karl Nehammer said Friday that Austria has a secure supply of alternative fuel and that “no one will freeze this winter, no home will be cold.” “Our gas storage facilities are full and we have sufficient capacity to obtain gas from other regions," Nehammer said in a hastily called appearance at the chancellery. “We cannot be blackmailed.” OMV gave notice of the cutoff in a trading statement on the Central European Gas Hub website. An OMV spokesperson couldn't be reached for comment. Gazprom had no immediate comment. The cutoff will cost Gazprom around $2.5 billion a year in annual revenue, said Janis Kluge, an expert on the Russian economy at German Institute for International and Security Affairs. Oil and gas exports, and the associated tax re
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