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GAZPROM

July 8, 2005

Gazprom’s delegation inspects machine building plants of St. Petersburg, Volgograd and Voronezh regions

Led by Alexander Ananenkov, Deputy Chairman of the Company’s Management Committee, Gazprom’s delegation has undertaken an ordinary business trip to Russian regions, paying a visit to machine building, metallurgical and pipe plants manufacturing equipment for Gazprom’s needs.

The delegation included Bogdan Budzulyak, Member to Gazprom’s Management Committee and Head of the Company’s Gas Transportation, Underground Storage and Utilization Department, Valery Golubev, Member to Gazprom’s Management Committee, Head of the Company’s Investment and Construction Department and General Director of Gazkomplektimpex as well as experts from Gazprom and Gazkomplektimpex’s structural units.

The delegation visited Volgogradneftemash (city of Volgograd) manufacturing oil & gas processing equipment and pipeline fittings; Volzhsky Pipe Plant (town of Volzhsky, Volgograd region) - Russia’s largest producer of pipes; Financial & Industrial Corporation Kosmos-Neft-Gaz and Federal State Unitary Entreprise Voronezh Mechanical Plant (town of Voronezh) turning out upstream equipment; Compressor Complex and Nevsky Plant (city of St. Petersburg) supplying Gazprom with turbocompressor output.

Attending the meetings, held in the course of the trip, were also representatives of Gidrogaz, (Voronezh), Liskimontazhkonstruktsiya (town of Liski, Voronezh region), Kirovenergomash, Scientific Production Firm Sistema-Servis, Zvezda-energetika, Elektropult (St. Petersburg), Kaliningradgazavtomatika and other companies.

The meetings emphasized that joint activities of Gazprom and Russian machine builders were mainly focused on the manufacture of high-quality domestic output that could adequately compete with foreign counterparts, with special emphasis to be placed on output innovations.

“The Russian machine building sector currently faces the challenge of turning out high-tech gas industry equipment. Moreover, the output quality should fit with the highest standards and allow Russian firms to win competitive contracts and supply their products both to Gazprom and abroad.

It is our machine builders that are primarily responsible for meeting this multifaceted challenge. And we, on our part, are set to prop up those who introduces innovative production and management technologies,” – stressed A. Ananenkov.

In the course of the trip, Alexander Ananenkov also held working meetings with Nikolai Maksyuta and Vladimir Kulakov, Governors of the Volgograd and Voronezh regions, respectively.

The parties addressed potential cooperation between the regional machine building companies and Gazprom, touched upon matters relative to gas supplies to the Volgograd and Voronezh regions and scrutinized the implementation of the cooperation agreements between the regional authorities and Gazprom. A. Ananenkov informed the Governors of the progress in the 2nd stage of Gazprom’s restructuring.

Reference:

Gazprom is first of all oriented towards home-made output procurement and has invested some RUR 10 bln in the domestic equipment development & manufacture over the past 10 years only. Furthermore, the Company is placing the strictest demands on the quality of both the domestic and foreign equipment.

Gazprom’s Board of Directors has endorsed the Provision on the Procurement Regulations for Gazprom and its Subsidiaries.

The Document stipulates only openly-held bidding. A 2-phase contest is summoned if a tenderee is unable to come up with detailed technical specifications and has to perform a preliminary study of potential suppliers’ propositions. Sole-source awarding of supply contracts is clearly specified in the Provision, as well.

DIVISION OF RELATIONS WITH MASS MEDIA

 

 

 

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