Russian natural gas monopoly Gazprom reached an agreement on Wednesday with Ukraine which says that the Ukrainian government will urge its enterprises to pay gas debt to the Russian company, Russian media reported.

    Gazprom warned Ukraine on Tuesday of its reduction of gas supply to Ukraine if the 1.3 billion U.S. dollars debt it owed were not paid off this month. Ukraine, however, said that it is related companies not the government that owe those debts.

    Russian First Deputy Prime Minister Dmitri Medvedev told visiting Ukrainian Fuel and Energy Minister Yury Boiko that the debt dispute will not affect gas supply to European countries.

    Gazprom fills about one quarter of Europe's gas demand and 80 percent of which was transferred via Ukraine.