Today, at Gazprom’s headquarters, Alexey Miller, Gazprom’s Management Committee Chairman, held negotiations with Yury Boiko, Neftegaz of Ukraine’s Board Chairman. Mr Miller and Mr Boiko discussed the cooperation between Gazprom and Neftegaz of Ukraine in the gas industry.

Mr Miller and Mr Boiko discussed the settlement of Neftegaz of Ukraine’s indebtedness to Gazprom for previous gas supplies; activity of the International Consortium for Ukraine’s Gas Transmission System Management and Development; Ukraine’s gas balance for the mid-term prospective.

Reference:

Neftegaz of Ukraine’s indebtedness to Gazprom for previous gas supplies accounts for USD 1.62 billion. Under the agreement between Ukraine’s Cabinet of Ministers and the Russian Government, dated 4 October 2001, the Neftegaz of Ukraine’s USD 1.43 billion debt will be repaid through the Bonds transfer.

In October 2002, Gazprom and Neftegaz of Ukraine sign Agreement to establish on par the International Consortium for Ukraine’s Gas Transmission System Management and Development.

Consortium members’ meeting held on 26 August 2003 approved the Novopskov-Uzhgorod construction project, to be developed by 31 August 2004, as the first investment phase of Ukraine’s Gas Transmission System enlargement plan.

At present, the feasibility study documentation, financing scheme and organizational & legislative conditions for constructing the Bogorodchany-Uzhgorod gas pipeline section are elaborated.

DIVISION OF RELATIONS WITH MASS MEDIA