The European Union (EU) on Wednesday welcomed a gas deal reached between Russia and Ukraine following their dispute which affected the gas supply to many European countries.

"The EU welcomes that the parties have taken account of the importance placed by the Union on the maintenance of their role as secure long-term suppliers of natural gas to the EU," the EU said in a statement.

The joint statement made by Austrian Economic Minister Martin Bartenstein, EU Energy Commissioner Andris Piebalgs and Benita Ferrero-Waldner, EU Commissioner for External Relations, welcomed the fact that "the appeals from the EU to the parties to settle their dispute have had a swift and positive response."

Earlier on Wednesday, Russia and Ukraine signed a five-year deal in Moscow, ending a standoff that raised fears of a long-term gas shortage in Europe.

Under a complex price scheme, Russia's gas giant Gazprom will sell gas to the Rosukrenergo trading company for 230 U.S. dollars per 1,000 cubic meters.

The trading company will mix the Russian gas with gas from Central Asian countries Turkmenistan, Kazakhstan and Uzbekistan and sell the blend to Ukraine for 95 dollars per 1,000 cubic meters.

Russia cut down natural gas supply to Ukraine on Sunday after Kiev rejected Russia's demand to more than quadruple the price.

Source: Xinhua