A Gazprom delegation chaired by Alexey Miller, Chairman of the Gazprom Management Committee paid a visit to the Republic of Turkmenistan.

Within the visit, Alexey Miller took part in the extended session attended by Vladimir Putin, President of the Russian Federation and Gurbanguly Berdymukhammedov, President of the Republic of Turkmenistan.

The parties discussed major issues on existing and further cooperation development in the gas sector based on the long-term Agreement of 2003.

Reference:

Russia and Turkmenistan entered into a 25-year Agreement of cooperation in the gas sector on April 10, 2003. In conjunction with the Agreement, Gazprom export, a Gazprom wholly owned subsidiary, and the Turkmenneftegaz gas transmission company concluded a long-term Contract for the Turkmen natural gas purchase and sale.

In September 2006, in the frames of the working visit of the Gazprom delegation to Turkmenistan the parties specified the price and supply quantities from 2007 to 2009. The price of US$ 100 for 1000 of cubic meters is fixed for the period. Over 2007 to 2009 gas supplies will amount to 50 bcm per year. The parties agreed on principle of adjustment of gas delivery terms in the next triennial period. The price must not be changed to the end of 2009. By July 1, 2009, the parties will agree on price fixing consistent with price situation changes for long-term gas supply contracts in the European gas markets.

In 2006 Gazprom export purchased nearly 42 bcm of Turkmen gas.

Turkmen gas is supplied via the Central Asia – Center transit gas pipeline network going through Uzbekistan, Kazakhstan and Russia. In accordance with inter-governmental agreements, Gazprom transits Turkmen gas via Russia to Ukraine and serves as operator of Turkmen gas transit via Uzbekistan and Kazakhstan.