The Gazprom Headquarters hosted today a working meeting between Alexander Ananenkov, Deputy Chairman of the Company’s Management Committee and Vladimir Kovalchuk, First Deputy Governor of the Yaroslavl Oblast.

The parties discussed the progress in implementing the Agreement of Cooperation between Gazprom and the Yaroslavl Oblast Administration and the regional gasification program.

The meeting also addressed the issues related to the machine-building complex operation for the benefit of Gazprom.

Background:

The Agreement of Cooperation between Gazprom and the Yaroslavl Oblast Administration was entered into in February 2005, the Gasification Accord – in December 2003.

In 2007 Gazprom supplied the Oblast consumers with 3.16 bcm of gas. This year supplies are projected at the 2007 level.

The Yaroslavl Oblast consumers have no gas debt to Gazprom.

Gas penetration in the Yaroslavl Oblast totals 67.2 per cent, with 84.1 per cent in cities, towns and settlements and 17.5 per cent in the rural area. The identical figures throughout Russia average 62, 67 and 44 per cent respectively.

Between 2003 and 2006 Gazprom invested around RUB 283 bln to construct gasification facilities in the Yaroslavl Oblast. In 2007 investments amounted to RUB 270 mln to complete the construction of two inter-settlement pipelines with a total length of 32.95 km and to launch the engineering and construction of six inter-settlement pipelines 108 km long. The construction of facilities was performed according to schedule.

The 2008 gasification program for the Yaroslavl Oblast envisages RUB 270 mln of investments in the engineering and construction of nine inter-settlement pipelines with a total length of 149 km. At the same time, according to the Synchronized Schedule for regional gasification facilities construction in 2008-2009, the Oblast Administration is planning to build gas distribution pipelines 55.6 km long, convert eight boiler houses to gas and prepare 3,607 households to receive gas.