Russia decreases natural gas supply to Armenia and makes it more expensive

In 2009 the Russian gas supply to Armenia decreased 19.7% to 1,809 million cubic metres, as opposed to 2.25 million cubic metres in 2008. However Armenian demand for natural gas also decreased by 6%.

From April 1 2010 to March 31 2011 Gazprom will supply Armenia with natural gas at USD 180 per 1,000 cubic meters. Currently Armenia pays USD 154. Gazprom's daughter company in Armenia ArmRosGazprom is therefore demanding that the retail price of the gas be increased from USD 246.9 to USD 293.5 per 1,000 cubic metres.