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Gazprom unit is suing industrial gas giant Linde for 4 million
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Gazprom unit is suing industrial gas giant Linde for $884 million

A unit of Russian gas giant Gazprom is suing Linde, the world’s largest industrial gas company, for $884 million (85.7 billion Russian rubles) over Linde’s withdrawal from a gas processing in eastern Russia.

The Gazprom subsidiary, which operates the new Amur Gas Processing Plant, filed the claim with the Arbitration Court of Russia’s Amur Region, Reuters reported on Wednesday, citing court documents he had seen.

After Russia’s invasion of Ukraine, Germany-based Linde said in 2022 it would withdraw from Russia, suspend all development, sell industrial assets and stop supplying certain customers.

In June 2022, Linde ENDED its participation in the Amur gas processing complex, which is part of the Russian network of natural gas exports through the Power of Siberia pipeline to China.

Two years earlier, Linde he had won a contract to provide engineering, procurement and site services based on proprietary technology for the cracking unit of SIBUR’s Amur Gas Chemical Complex.

Companies in Russia have filed several complaints against Linde since the Western firm announced its withdrawal from the country two years ago.

Most recently, a Russian court in August orderly that $1.15 billion worth of assets of a UK subsidiary of Linde be frozen as part of a dispute over another gas processing plant, the Ust-Luga complex. Linde signed an engineering, procurement and construction (EPC) contract with Gazprom for the complex in 2021.

Gazprom is involved in many other lawsuits and claims regarding previous contracts for the supply of services or goods.

In June, an arbitration tribunal awarded German energy giant Uniper the right to terminate its long-term Russian gas supply contracts and awarded it more than $14.1 billion (€13 billion) in compensation for the volumes of gas that Gazprom Export failed to deliver from mid-2022.

By Tsvetana Paraskova for Oilprice.com

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