Russia and Ukraine announced a deal today to end the bitter dispute that has blocked Russian natural gas from Europe for nearly two weeks.

Ukraine rejected Russia's latest request to pass on gas to increasingly frustrated EU consumers today, deepening the bitter economic and political dispute.

European Commission President Jose Manuel Barroso today warned Russia and Ukraine’s big energy companies he would recommend legal action against them unless they move quickly to restore supplies.

Europeans left freezing and in the dark saw their hopes for an end to the Russia-Ukraine gas dispute sink after officials failed to reach a deal which would restore power to millions of homes.

There was cautious optimism last night that Russian gas will begin flowing into Europe again next week following agreement on monitors in both Russia and Ukraine.

A team of energy experts assembled by the European Commission arrived in Kiev today to begin work monitoring gas flows from Russia to the EU via Ukraine.

The European Union said today gas supplies should restart after it struck a deal with Russia on supervising the flow of gas through Ukraine.

Russia, Ukraine, and the European Union are bidding today to end a crisis which has left at least seven EU countries facing major gas shortages amid a winter freeze.

Russian gas monopoly Gazprom said it cut all gas supplies to Ukraine today after talks broke down over payments for past shipments and a price for 2009.

RUSSIAN prime minister Vladimir Putin warned Ukraine yesterday of “severe consequences” if it disrupted gas supplies to Europe, as another New Year’s Eve energy dispute went down to the wire.

A helicopter belonging to Ukraine's state gas company crashed today as it tried to land on a Black Sea drilling platform, killing 20 people, officials said.

A helicopter has crashed into the Black Sea, killing 19 people, a Ukrainian official said today.

RUSSIAN energy monopoly Gazprom restored gas supplies to Ukraine yesterday, ending a three-day crisis between the two ex-Soviet neighbours that has put the European Union on alert.

A revival of the natural gas dispute between Russia and Ukraine threatened supplies to western Europe today.

Russia’s state-controlled gas giant Gazprom has raised the threat of another gas crisis with Ukraine, warning that the ex-Soviet nation was building up its winter gas supplies too slowly, possibly endangering smooth deliveries to Europe.

The Russian and Ukrainian natural gas companies today agreed to resume gas shipments to Ukraine, but details of the deal were not known.

EU Energy Commissioner Andris Piebalgs said today the EU executive was confident that Russia and Ukraine would solve a gas transit dispute that threatens Europe’s supply of natural gas.

European buyers of Gazprom’s natural gas today said they were receiving full supplies after the Russian monopoly increased shipments through Ukraine.

Russia’s state-controlled OAO Gazprom natural gas monopoly today accused Ukraine of diverting about $25m (€21m) worth of Russian gas intended for customers in other European countries, Russian news agencies reported.

The stand-off between Russia and Ukraine over gas supplies sent a shiver running through western European countries fearing they may become innocent victims of the dispute between Moscow and Kiev.

Russia’s natural gas monopoly Gazprom halted sales to Ukraine today in a price dispute.