Russia's energy giant to stop gas deliveries to Austria

VIENNA: Austrian energy company OMV said that Russia's energy giant Gazprom will suspend gas deliveries to Austria starting Saturday.

The move came after OMV announced on Wednesday that an arbitration ruling by the International Chamber of Commerce awarded it 230 million euros ($242 million) in a dispute with Gazprom over the latter's irregular gas deliveries.

OMV said in a statement that the award would be offset "with immediate effect" against its payment obligations to Gazprom, as reported by Xinhua news agency.

OMV is Gazprom's only contractual partner in Austria, according to Austrian broadcaster ORF.

Austria's energy and environment minister Leonore Gewessler said Friday afternoon on social media platform X that "Austria has been preparing for this situation for a long time," adding that the country's energy supply is secure, and its domestic gas storage facilities are full and more than enough to meet one year's consumption for Austria.

She accused Russia of "once again using energy as a weapon."

Austrian Chancellor Karl Nehammer also told a press conference later that day that the country has a sufficient gas reserve, saying, "Nobody has to freeze in Austria."

OMV said on Wednesday that the company's gas storage level is now over 90 per cent, and it has successfully diversified its gas supply sources.

Austria has long been heavily dependent on Russian gas. ORF reported that over 80 per cent of Austria's gas imports in August were from Russia.