Moscow and Minsk have failed to settle the oil dispute: Belarus is not ready to pay $ 700 million debt to continue the negotiations, said the Russian Energy Minister Alexander Novak, after his talks with prime ministers of both countries, reports RIA Novosti.

"The negotiations over gas conflict between Russia and Belarus are over. The parties discussed their positions. Unfortunately, they failed to agree over the final settlement of the dispute, "said Novak.

According to the minister, the agreement failed primarily because "the Belarusian side was not ready to pay the debts without receiving significant benefits – for example cost benefits, price establishment mechanisms - from Russia.