News
Ukrainian state-owned company Naftogaz has submitted an official $1.37 billion claim to Russia's Gazprom, according to the company's June 24 press release. The amount was finalized in a ruling from the International Court of Arbitration of the International Chamber of Commerce in Zurich, which informed Naftogaz of the decision on June 20.
The claim concerns a debt for natural gas transit services provided under a contract signed in 2019. In addition to the principal amount, penalties and reimbursement of legal expenses are also subject to recovery. If Gazprom refuses to pay the amount voluntarily, Naftogaz will proceed with an enforcement strategy in order to recover the Russian company’s assets, according to the press release.
In parallel, proceedings to recover $5 billion in compensation from Russia for the expropriation of Naftogaz’s assets in Crimea following the 2014 annexation of the peninsula are ongoing after an arbitration court awarded the Ukrainian company that amount in a 2023 decision. Enforcement of this award is underway in ten jurisdictions. Russian assets have already been seized in Finland and France, while efforts continue in other countries. Further details are not being disclosed in order to protect the viability of Naftogaz’s legal strategy.
In most countries, the interests of the Ukrainian company are represented by leading law firms on a pro bono basis.
In October 2024, the District Court of Helsinki seized Russian assets in Finland in response to a claim filed by Naftogaz seeking compensation for the loss of property in Crimea. This marked the first known instance of enforcement in the company’s efforts to begin collecting on the $5 billion in compensation. The seized assets included a plot of land owned by the Russian Center for Science and Culture, as well as other property worth tens of millions of dollars.