The national oil and gas company of Ukraine, Naftogaz, is undertaking negotiations to extend the demandable maturity date that it owes Gazprombank of Russia. The said loan was issued last year according to the Ukrainian government last Thursday.

The said loan had fallen due and demandable last June 24, 2013, according to a document published in the website of the Ukranian parliament.

The statement said, "The company has proposed to the bank that the timescale be extended."

The said loan was originally termed for seven years and the proceeds would be used for gas purchases for the next heating season. The process is that Naftogaz purchases gas from Gazprom, which is the largest shareholder of the bank. The amount purchased reaches around US$1 billion per month. 

In November 2012, Naftogaz had already loaned US$550 million from Gazprombank for the same purpose.