The Gazprom Headquarters hosted today a working meeting between Alexey Miller, Chairman of the Company’s Management Committee and Mukhu Aliyev, President of the Republic of Dagestan.

The meeting reviewed the implementation of the Agreement of Cooperation between Gazprom and the Republic of Dagestan.

The parties highly evaluated the joint activities, placing a special emphasis on the implementation of the gasification program for 2008.

Background:

The Agreement of Cooperation between Gazprom and the Republic of Dagestan was signed on September 1, 2003.

On September 11, 2005 Gazprom and Dagestan inked the Accord on Gasification.

The average gasification level of Dagestan is at 74.3 per cent including 98.5 per cent in cities and towns and 56 per cent in the rural area. The identical figures throughout Russia account for 62 per cent, 67 per cent and 44 per cent, respectively.

In 2007 Gazprom supplied some 2.8 bcm of gas to the Republic consumers.

Between 2007 and 2008 Gazprom invested RUB 160 mln into Dagestan’s gasification. These funds were used to complete four inter-settlement gas pipelines and to initiate the construction of four new ones.

Additionally, in 2008 the gas lateral to the settlement of Botlikh and five gas distribution stations (GDS) were completed. The work is in progress to construct a gas lateral to the settlement of Hunzakh and three GDS.