Gazprom refused to recognize the audit of Moldova’s debt as reliable and independent

Gazprom (MOEX: GAZP) refused to review the audit report of Moldova’s gas debt due to doubts about its reliability and independence. This is stated in the message on website Russian company.

The Supervisory Board of Moldovagaz, as specified by Gazprom, at a meeting on November 2 did not agree on the audit report, which was published by the Ministry of Energy of Moldova. The company reported that the document does not meet international standards.

“The report cannot be considered as an appropriate final document of an independent and reliable financial audit of the debt of JSC Moldovagaz to the companies of the Gazprom Group,” the material says.

The company explained that the report does not satisfy the requirements of an independent audit, since one of its executors has a conflict of interest with Gazprom. The Moldovan side, as the report says, was notified of this in advance, but it “did not take any action.”

In October 2021, the parties entered into a contract for the supply of 3.3 billion cubic meters. m of gas – its main condition was the repayment of historical debt. Gazprom estimates Moldova’s debt, including penalties and fines, at $709 million.

At the beginning of September 2023, following an audit conducted by the Norwegian company Wikborg Rein Advokatfirma and the British Forensic Risk Alliance & Co, the Moldovan authorities announced their readiness to pay only $8.6 million. In Moldovagaz, 50% of the shares of which belong to Gazprom, they saidthat the announced figure “causes bewilderment.”

In September, Kommersant wrote that the Moldovan authorities proposed to Gazprom to conclude a settlement agreement, according to which the Russian company and its structures would write off the debts of Moldovagaz. As part of the agreement, Chisinau guarantees the absence of lawsuits in connection with a reduction in supplies by $160 million, and will also pay Gazprom $153.57 million in compensation.

More details in the material “Moldova offered peace to Gazprom”.

Petr Buzlaev