KIEV, Nov. 12 - The government will shortly allocate 3.6 billion hryvnias to the national oil and gas company Naftogaz Ukrayiny to compensate losses from lower-than-market natural gas prices, an official said Friday.

“The next step that is being prepared by the government is a resolution disbursing 3.6 billion hryvnias to the company to compensate the difference in gas prices,” Yevhen Bakulin, the head of Naftogaz, said.

The development comes two weeks after the government injected about $1 billion into Naftogaz capital ahead of massive payment to Gazprom of Russia for gas imports in October.

This underscores Naftogaz’s persistent financial problems even despite the government’s decision to hike domestic gas prices 50% from August 1.

Naftogaz’s persistent financial problems weaken the company’s position at talks with Gazprom over lowering gas prices, analysts said.

Naftogaz paid $1.06 billion to Gazprom on November 5 for natural gas imported in October.

Bakulin said the company will have to pay another $1 billion in early December and $1 billion in early January 2011.

“That puts a lot of pressure on the company,” Bakulin said. “We have to increase collection of payments from domestic consumers.”

Ukraine is buying Russian gas at about $253 per 1,000 cu m in the fourth quarter, compared with $248/1,000 cu m in the third quarter.

Ukraine plans to import about 8.6 billion cubic meters of Russian natural gas in November-December to comply with contracted volumes of natural gas imports, set at 36.5 billion cubic meters in 2010.

In January through October Ukraine increased imports of natural gas by 46.8% year-on-year to 27.9 billion cubic meters, compared with 19 billion cubic meters imported a year ago. Russia is the only source for natural gas imports to Ukraine. (sb/ez)