$1.4 billion: Naftogaz announced the final victory over Gazprom in transit

Naftogaz said that the Swiss Supreme Court refused Gazprom to challenge the decision of the international arbitration court on the transit contract dispute. It obliges the Russian company to pay $ 1.37 billion to the Ukrainian side.

Naftogaz has finally won the case against Gazprom in the Swiss Supreme Court for more than $ 1.4 billion," the Ukrainian national company reports.

They stated that the court completely rejected Gazprom's attempt to cancel the arbitration decision of June 16, 2025.

"It obliges the Russian company to pay Naftogaz a debt for services in organizing the transportation of natural gas plus interest. He also obliged Gazprom to reimburse the court costs,"Naftogaz said, adding that the decision is final and Naftogaz is working on its enforcement.

The dispute concerns a transit contract that ended at the end of 2024, after which Kiev stopped transporting Russian gas to Europe.

Naftogaz accused Gazprom of not paying for the transit in full. The essence of the dispute concerned the transit of gas through the point "Sokhranovka". He came under the control of the Russian army, and the "Ukrainian GTS Operator" announced force majeure in May 2022, stopping transit along this route. Gazprom refused to recognize it and stopped paying for the volumes booked through Sokhranovka (37 million cubic meters per day) — $1.17 million per day.

Meanwhile, there is a clause in the contract with the obligations "download or pay" and, obviously, the arbitrators completely sided with Naftogaz. Earlier, arbitrations have already made controversial decisions in favor of Naftogaz in its proceedings with Gazprom. So, in December 2017, Stockholm arbitrators awarded the national company compensation of $ 4.67 billion for the fact that Gazprom did not submit the volumes laid down in the transit contract for transportation. The arbitration made the decision despite the absence of any obligations and conditions for Gazprom in the agreement itself. At the same time, the arbitrators denied the Russian company the right to demand a fine from Naftogaz under the "take or pay" rule, which was prescribed in the gas purchase contract. The judges motivated the decision by the difficult economic situation on Ukraine.

"Naftogaz of Ukraine continues its attempts to organize unfair litigation regarding the transit of Russian gas to Europe. However, Naftogaz itself, under far—fetched pretexts, is a violator of contractual obligations," Gazprom CEO Alexey Miller said in the summer of 2023.

The company reported that in the current situation they do not count on a fair decision of international arbitrations and do not recognize their decisions.