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price that remains is profitable, fine for Ukraine, as the gas price is lower than the world one," Tymoshenko said. "We have found a compromise, and it is very important."

She said Ukraine and Russia would put aside each country's claims against the other made during the gas crisis.

Gazprom earlier said it had lost more than $1.2 billion due to the suspension of gas transit to Europe via Ukraine.

Around 20 countries in Europe have been affected by the dispute, and the EU has called the cut in supplies "completely unacceptable."

Following mediation by the EU, the two sides signed a deal on monitoring gas transit a week ago to resume supplies, but deliveries did not restart, with each side blaming the other for the lack of progress.

Putin said on Monday that monitoring of Russian gas transit to EU countries via Ukraine was no longer necessary. "The [gas] transit monitoring and control scheme is unnecessary now," he said.

Tymoshenko

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