Austrian oil and gas giant OMV AG (OMVKY) said Thursday it was ready to tap its reserves if Russia's halt of natural gas deliveries to Ukraine were to hit its own imports.
Austrian oil and gas giant OMV AG (OMVKY) said Thursday it was ready to tap its reserves if Russia's halt of natural gas deliveries to Ukraine were to hit its own imports.

OMV, the largest oil and gas provider in central Europe, said that so far there had been no problems with supply to Austria after Russia's Gazprom cut delivery to Ukraine, through which western Europe gets much of its needs.

The company added that "it could not yet ascertain" whether the Russia-Ukraine dispute would lead to a reduction in supplies to Europe.

"Econgaz, the OMV unit, currently holds 1.7 billion cubic meters of gas in stock which it can use in the event supplies are cut," it said, adding that these reserves should be able to last about three months.

Austria, which consumes eight billion cubic meters of gas per year, gets 51% of its needs from Russia.

Russia earlier Thursday halted gas supply to Ukraine after the two ex-Soviet neighbors failed to agree on payment terms.

Ukraine's gas company, Naftogaz, separately confirmed that the volume of gas it was receiving from Russia had dropped, but promised that transit of supplies meant for customers downstream in Europe would be guaranteed.

OMV said it was in constant touch with OAO Gazprom (GAZP.RS), its supplier since 1968, stressing that up to now the Russian firm had always been "a trustworthy partner."

OMV and Gazprom joined forces last year to set up a major distribution platform based in Austria, called the Central European Gas Hub, which supplies Croatia, France, Germany, Hungary, Italy and Slovenia as well as the local market.