Mr. Lukashenko – please pay your bill

Belarus has five days to pay off its $200 million gas debt to Russia.

"If this is not done, tough measures will have to be taken," said Russian President Dmitry Medvedev.

Gazprom CEO Alexei Miller said under the current contract, the Russian state-run gas monopoly "has grounds to cut gas supplies to Belarus in proportion to its debt." "Belarus continues to pay for gas deliveries at 2009 prices," Miller said.

Belarus has refused to pay the increase in gas prices that Russia implemented at the beginning of the year and then upped again in the second quarter.

Belarusian debt could reach $500-600 million by year-end if the situation is not resolved.  Belarussian President Alexander Lukashenko said recently that his country was ready to hand over its Beltransgaz pipeline operator and Mozyr oil refinery, in exchange for paying domestic Russian prices for oil and gas.

No wonder that decision makers in European capitals are hoping that the promise of shale gas and other unconventional sources will lead to reducing continental dependence on Russian sources of energy.

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