Naftogaz of Ukraine announced default

This was reported on the Facebook page of Naftogaz.

Today, July 26, 2022, the deadline for payments by NJSC Naftogaz to holders of Eurobonds has expired.

At the same time, the company reports that it has funds in the account for payments on Eurobonds. The company also recalled that on July 21 the Cabinet of Ministers issued an order, on the basis of which Naftogaz officials can make any payments related to Eurobonds only after agreement with the Cabinet of Ministers.

In turn, the Cabinet of Ministers did not provide Naftogaz officials with permission to fulfill obligations to Eurobond holders to make the necessary payments to pay the principal and interest (for the 2022 issue) and interest (for the 2024 issue), the press service of Naftogaz emphasized.

Since the failure to fulfill obligations under Eurobonds practically deprived Naftogaz of access to the international capital market, the Cabinet of Ministers, by banning their payment, actually assumed full responsibility for raising the funds necessary to import natural gas for the 2022/2023 heating season, Naftogaz summed up ".