The Swiss court rejected Gazprom’s annulment bid, leaving Naftogaz with a definitive win. Enforcement proceedings and international asset tracing are expected to follow.

In addition, the court ordered the Russian company to pay court costs amounting to 200,000 Swiss francs, and to compensate Naftogaz for 250,000 Swiss francs of expenses incurred in proceedings before the Federal Supreme Court.

As a reminder, in July 2025 Gazprom initiated proceedings to annul the arbitral award and simultaneously filed a motion to stay its enforcement until the case is resolved. In November 2025, the Swiss Federal Supreme Court rejected the motion for a stay. The Court has now fully dismissed Gazprom’s appeal on the merits.

Thus, the highest judicial instance in Switzerland confirmed the validity of the arbitral award and finally rejected the arguments of the Russian side. Naftogaz will continue to pursue the enforcement of this decision and continues a number of other proceedings against the aggressor country.

“Naftogaz will continue to pursue the enforcement of this decision and will continue a number of other proceedings against the aggressor country.”

– Serhiy Koretsky

Naftogaz’s interests in the proceedings to annul the arbitral award were represented by its long-standing advisers from the law firms Gabriel Arbitration, Wikborg Rein, Nybron, and Bono Legal.

Under the 2019 Agreement on the Organization of Natural Gas Transportation, Naftogaz was obliged to organize the transit of natural gas through Ukrainian territory for Gazprom until the Agreement ceased to apply on January 1, 2025.

In May 2022, as a result of actions by the Russian occupation forces, the organization of gas transit through the entry point “Sohranivka” became impossible. Nevertheless, Naftogaz continued to provide the transit services envisaged by the Agreement through the entry point “Sudja.” Despite this, Gazprom refused to pay in full the charges for organizing gas transportation, thereby breaching its contractual obligations.

In September 2022 Naftogaz initiated arbitration proceedings in Switzerland in accordance with the International Chamber of Commerce (ICC) Rules, as provided by the Agreement.

In June 2025, the arbitral tribunal seated in Switzerland issued a Final Award, finding Gazprom fully responsible for non-performance of its payment obligations and finding no grounds for non-payment. The tribunal ordered Gazprom to pay the outstanding charges for gas transportation services, interest, and the amount of arbitration costs.