Headed by Alexander Ananenkov, Deputy Chairman of Gazprom Management Committee, Gazprom’s delegation visited today the Vyborg Shipyard.

Gazprom’s representatives inspected the Polyarnaya Zvezda (the North Star) and the Severnoye Siyanie (Northern Lights) semi-submersible drilling rigs (SSDR) being constructed by the Company’s order. The rigs will be applied during the Shtokman gas condensate field development. It was pointed out that the construction process was progressing according to schedule.

“Construction of the drilling rigs at the Vyborg Shipyard is a vivid example of successful cooperation between Gazprom and Russian shipbuilding companies. Hydrocarbon recourse development in the Arctic offshore will demand our own drilling and production platforms, technological fleet and LNG carriers. Gazprom will continue making maximal use of Russian enterprises potential when placing these orders. This will help Russian producers to update their production and will give a new and powerful impetus to the Russian shipbuilding industry development,” said Alexander Ananenkov.

Background:

In November 2007 following the results of an open bidding Gazflot (a wholly owned subsidiary of Gazprom) and the Vyborg Shipyard signed a contract for the construction of two semi-submersible drilling rigs to drill production wells on the Shtokman field. Samsung Heavy Industries, a South Korean company, was identified as a subcontractor to construct the topsides of the platforms.

The platforms are intended for operation in a harsh natural and climatic environment, stand low temperature and waves up to 32 m high. The platforms are capable of performing exploration and production drilling of up to 7,500 m oil and gas wells at 70-500 meters water depth. Construction of the Polyarnaya Zvezda and the Severnoye Siyanie SSDRs is to be completed in the fourth quarter of 2010 and in the first quarter of 2011 accordingly.

The Shtokman gas condensate field is located in the central part of the Russian sector of the Barents Sea offshore. Shtokman’s C1+C2 reserves make up 3.8 tcm of gas and some 31 mln t of gas condensate.

The Shtokman gas condensate field development project is of strategic importance to Gazprom. This field will become a resource base to deliver both Russian pipeline gas and gas produced with the use of LNG technologies.