KIEV, Jan. 27 – Russia’s state-controlled energy giant Gazprom slapped Ukraine with a $7 billion penalty for natural gas it had never imported in 2012 claiming the country had violated its ‘take-or-pay’ obligation by reducing imports.

The bill, which was confirmed by Naftogaz Ukrayiny, the national energy company, suggests that the standoff between Ukraine and Russia may escalate, potentially jeopardizing European gas supplies.