Today the Gazprom Headquarters hosted a working meeting between Alexander Ananenkov, Deputy Chairman of the Company’s Management Committee and Toshihito Tamba, Executive Vice President, Itochu Corporation.

The parties highly regarded the Memorandum of Understanding signed in May, discussed joint efforts in doing a background research in the LNG/CNG production opportunities around Vladivostok with a view to potential supplies to Asia-Pacific including Japan.

The meeting participants considered a broad range of issues related to potential participation of Japanese companies in hi-tech projects within the Eastern Gas Program.

Background

Itochu Corporation is the parent company of the group of firms dealing with the following major businesses: electronics, telecommunications, aerospace, energy, metals & minerals; chemicals, forest products, finance, realty, insurance & logistics services.

Itochu Corporation has been developing business relationships with Gazprom for more than 30 years. In particular, within a consortium also comprised of the Japanese companies Sumitomo and Mitsui, Itochu supplied pipes for the submerged part of the Blue Stream gas pipeline.

In December 2008 Gazprom, the Natural Resources and Energy Agency under the Economy, Trade and Industry Ministry of Japan and Itochu Corporation signed Agreements for joint preparation of an investment rationale for the project aimed at creating gas processing and gas chemicals facilities to be fed with hydrocarbon products from the Sobinskoye oil and gas condensate field.

On May 12, 2009 Gazprom, the Natural Resources and Energy Agency, Itochu Corporation and Japan Petroleum Exploration Company (JAPEX) signed a Memorandum of Understanding. The Memorandum stipulates joint investigation of natural gas utilization opportunities around Vladivostok: further transportation, processing and/or marketing of the final products to potential customers in Asia-Pacific including Japan.

The September 3, 2007 Order by the Russian Federation Industry and Energy Ministry approved the Development Program for an integrated gas production, transportation and supply system in Eastern Siberia and the Far East, taking into account potential gas exports to China and other Asia-Pacific countries (Eastern Gas Program). Gazprom was appointed by the Russian Government as the Program execution coordinator.

The Sakhalin – Khabarovsk – Vladivostok gas transmission system with its first start-up complex planned for commissioning in the third quarter of 2011 is a top priority project of the Eastern Gas Program.