Sinclair resigns from PGNiG zł. 800 million contract

Polish Oil and Gas (PGNiG) has terminated a zł. 800 million contract with Sinclair, as it admitted that it was unable to fulfill its obligations. Sinclair, a US-based company linked to former PGNiG employees, Russian Itera and Ukrainian Ukrgazprombank, failed to reach an agreement with Ukrtansgaz, a Ukrainian gas transmission operator, which means Sinclair is unable to guarantee spot deliveries for PGNiG. An unofficial source revealed that Sinclair offered Polish Oil and Gas an excessively low price which was unacceptable to Ukrainian and Russian suppliers. PGNiG president Marek Kossowski said that in view of Sinclair's failure, his company has started negotiations with other companies in Ukraine to secure the two billion cubic meters of gas. (Puls Biznesu, pp. 1, 5) M.K.