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Ukraine Warns It May Stop Buying Russian Gas Next Year

Ukrainian authorities said they will buy natural gas from Russia until the end of the year, but will purchase all Ukraine's gas from Europe in the first quarter of 2016 if Russia does not offer a competitive price.

"We expect and hope that Russian gas sellers will be rational and propose competitive prices to us," Naftogaz Chief Executive Andriy Kobolev said at a company briefing in Kyiv November 3.

"If there is no such offer we will be purchasing all gas from Europe," he said.

Kobolev said that no additional agreement needs to be signed on first quarter gas purchases, as it is possible for Ukraine to act in the framework of documents signed earlier this year.

He added that Naftogaz Ukrainy is expecting "a serious fall" in gas prices, starting in the second quarter of next year.

Based on reporting by Reuters, Interfax, and TASS