Russia says Armenia could lose cheap gas if it turns away, ahead of Rubio visit

  • Kremlin: preferential pricing tied to Russia-led integration
  • Armenia is pursuing closer EU ties
  • Putin highlights large price gap versus Europe
  • S. Rubio meets Armenia foreign minister on Tuesday
  • Armenia-Russia relations strained since Nagorno-Karabakh events

The Kremlin on Monday said Armenia could lose the "very attractive" price it pays for Russian gas if it turned away from integration with Russia, ahead of a visit by U.S. Secretary of State Marco Rubio.

Armenia is a member of a Russian-led economic union and heavily dependent on Russia for energy supplies, but in recent years it has sought deeper ties with the European Union, including adopting a law last year to launch its accession process to the bloc.

"There is a very, very attractive and more than preferential price for Russian gas," Kremlin spokesman Dmitry Peskov told reporters, when asked about relations with Armenia.

"But, of course, such terms are not available to participants in other integration frameworks. There, the pricing structure is entirely different. It is market-based."

Armenian Foreign Minister Ararat Mirzoyan said Armenia had no interest in severing political and economic ties with Russia.

"We want and will strive to preserve and deepen our normal relations," Russian news agency Interfax quoted him as telling reporters in Yerevan on Monday.

On Tuesday, Rubio is set to visit Armenia for talks with Mirzoyan, the State Department said on its website, adding that the two plan to attend a memorandum-of-understanding signing ceremony. It did not provide further details.

Ties between Russia and Armenia - which hosts several Russian military bases - have grown increasingly rancorous since Azerbaijan forcibly retook the breakaway region of Nagorno-Karabakh in September 2023 despite the presence of Russian peacekeepers.

Russian President Vladimir Putin raised the issue of gas pricing at a meeting with Armenian Prime Minister Nikol Pashinyan in April, saying that Yerevan paid $177.50 for 1,000 cubic meters of gas from Russia that would cost over $600 in Europe.

"The disparity is vast," Putin said.

The Russian leader also told reporters on May 9 that it would be "logical" for Armenia to hold a referendum on its EU aspirations.

Armenia holds a parliamentary election in June that pits Pashinyan's party against an array of opposition parties, many of which are pro-Russian.

 

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