Kazakhstan Court Overturns $1.4Bln Naftogaz Arbitration Award Against Gazprom

July 9, 2026 Naftogaz A special court in Kazakhstan has overturned its earlier ruling allowing Ukraine’s state oil and gas company Naftogaz to collect a $1.4 billion international arbitration award from Russia’s Gazprom. In May, a court at the Astana International Financial Centre (AIFC) recognized and upheld a Swiss International Commercial Court (ICC) arbitration award in favor of Naftogaz. Shortly after, Kazakhstan’s justice ministry said it would not enforce that decision, arguing that it has “no legal connection to the country.” On Tuesday, an AIFC judge threw out the special court’s original ruling on the basis that it had no jurisdiction to enforce the award. Naftogaz and Gazprom were told to submit written arguments on costs within 14 days. The underlying commercial dispute stems from a 2019 contract covering Russian natural gas transit through Ukraine. Following Russia’s invasion in 2022, transit through the Sokhranivka distribution station in the eastern Luhansk region was suspended, though deliveries continued through the Sudzha entry point. In 2022, Naftogaz declared force majeure, preventing gas supplies to Europe. Gazprom deemed the Ukrainian company’s justifications insufficient to terminate the agreement and subsequently stopped fully paying for the services required under the transit pact. Naftogaz initiated arbitration proceedings in Switzerland in September 2022. Arbitrators ordered Gazprom to pay Naftogaz $1.4 billion in unpaid gas transportation fees and cover legal costs in June 2025. While Gazprom sought to overturn the ruling, Switzerland’s Federal Supreme Court upheld the award in March, making the decision final. The AIFC court in Kazakhstan, which operates independently from the Central Asian country’s legal system, is modeled after English common law and is staffed largely by international judges, most of whom are from the United Kingdom. Read more about: Kazakhstan , Court cases , Ukraine , Business , Gazprom Sign up for our free weekly newsletter Our weekly newsletter contains a hand-picked selection of news, features, analysis and more from The Moscow Times. You will receive it in your mailbox every Friday. Never miss the latest news from Russia. Preview Subscribers agree to the Privacy Policy We sent a confirmation to your email. Please confirm your subscription. A Message from The Moscow Times: Dear readers, We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent." These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia. We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help. Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact. By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us. Once Monthly Annual Continue Not ready to support today? Remind me later. × Remind me next month Remind me Thank you! Your reminder is set. We will send you one reminder email a month from now. For details on the personal data we collect and how it is used, please see our Privacy Policy. Read more Kazakhstan Will Not Enforce $1.4Bln Naftogaz Arbitration Award Against Gazprom, Justice Minister Says Justice Minister Erlan Sarsembayev said a ruling by a court at the Astana International Financial Centre falls outside of the country’s legal jurisdiction... 2 Min read Kazakhstan Court Clears Path for Naftogaz to Pursue Gazprom Assets Over $1.4Bln Award This is the first public foreign court decision that allows the enforcement of this arbitration award in a separate jurisdiction, Naftogaz said. 2 Min read Germany’s Uniper Seeks $50M From Gazprom in Gas Transit Dispute – Interfax A Uniper subsidiary filed the lawsuit with the International Chamber of Commerce’s arbitration court in Geneva, Switzerland. 2 Min read State Prosecutors Seek to Seize Latvian Co-Owner’s Stake in Bread Bakery Over ‘Extremism’ Claims Russian authorities accuse businessman Normunds Bomis, who holds a 50% stake in Rizhsky Khleb, of helping finance Ukraine’s Azov Brigade. 2 Min read