Today Vienna hosted celebrations dedicated to the 40th anniversary of Russian natural gas supply to Austria.

“Over four decades the traditionally kind relations between Austria and Russia have represented a significant factor in the security of Russian gas supplies to our country. Cooperation between the two states will be further deepened. The contracts for natural gas supply to Austria have been extended for many years ahead, till 2027. Additionally, OMV and Gazprom are jointly executing the development project for the Central European Gas Hub at Baumgarten. All that will obviously reinforce the role of Austria in securing stable gas deliveries to Europe,” noted Martin Bartenstein, Austrian Economics and Labor Minister.

“In 1968 OMV was the first West European company to conclude a contract for gas supply from the USSR. Since then throughout 40 years our cooperation has been successfully deepening and spreading to new areas. Nowadays, in addition to gas supply and transportation, our cooperation embraces the development of one of Europe’s largest gas distribution centers at Baumgarten as well as the implementation of joint underground storage projects. Moving ahead at the same pace, Gazprom and OMV will not only strengthen their positions in the global markets, but will also make an invaluable contribution to the European energy security,” stated Gazprom’s Management Committee Chairman Alexey Miller on the occasion of the 40th anniversary of gas deliveries.

“The years of partnership between OMV and Gazprom have pursued stronger gas supply security. The signing of export agreements, the 40th anniversary of which we are celebrating today, literally was and remains a key event for providing stable energy supply to Austria and Europe. Therefore, we consider it an absolutely logical move to continue our successful partnership: the value of natural gas will be continuously growing due to its environmental friendliness as well as ever-increasing energy consumption,” said Wolfgang Ruttenstorfer, OMV AG Director General.

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Over almost 40 years Austria’s largest oil and gas group OMV has been the major business partner of Gazprom. OMV was the first Western company to enter in 1968 into a long-term contract for the purchase of natural gas in the USSR. Until 1987 the state owned a 100 per cent stake in the company. Nowadays the state (via the Austrian Industrial Holding) is the largest shareholder in OMV owning a 31.5 per cent stake.

In May 2005, Gazprom export and OMV agreed to supply natural gas to Western Europe by the WAG (West Austria Gasleitung) gas pipeline. The Agreement was concluded for a twenty-year period (from 2007 to 2027). Pursuant to the document, OMV will annually, till 2027, transport around 4.4 bcm of Russian gas.

In September 2006, Gazprom and a group of Austrian companies signed long-term contracts to supply gas to Austria. In accordance with the contracts, Gazprom will annually supply nearly 7 bcm of gas to Austria till 2027.

In January 2008, Gazprom and OMV signed an Agreement of Cooperation, pursuant to which Gazprom Group will receive a 50 per cent stake in the Central European Gas Hub (CEGH) located at Baumgarten. The Agreement also stipulates implementing joint underground gas storage projects both in Austria and neighboring countries.

CEGH is among Europe’s three largest gas distribution centers and is an international natural gas trading floor.

In 2006 the volume of gas trading at CEGH accounted for 7.7 bcm and in 2007 – about 1.5 bcm per month.