Today the Gazprom Headquarters hosted a working meeting between Alexey Miller, Chairman of the Company’s Management Committee and Alexey Kuzmitsky, Governor of the Kamchatka Krai.

The parties discussed the progress in implementing the Agreement of Cooperation and Accord on Gasification signed between Gazprom and the Kamchatka Krai. In particular, the issues related to the Sobolevo – Petropavlovsk-Kamchatsky gas trunkline construction and gas supply to the Kamchatka Krai were addressed.

Background:

In September 2007 the Russian Federation Government adopted the decision prescribing Gazprom to get involved in the Gas Supply to the Kamchatka Oblast, Phase 1 – Gas Supply to Petropavlovsk-Kamchatsky project.

As part of the project Gazprom carries out pre-development of the Kshukskoye and Nizhne-Kvakchikskoye fields on the western coast of the Kamchatka Peninsula, as well as construction of the Sobolevo – Petropavlovsk-Kamchatsky gas trunkline to be commissioned in 2010. In addition, the project provides for gas distribution networks construction in Petropavlovsk-Kamchatsky.

The Accord on Gasification of the Kamchatka Krai was inked in January 2008. The Agreement of Cooperation between Gazprom and the Kamchatka Krai Government was signed in February 2009.

In 2009 the Kamchatka Krai was involved into Gazprom’s gasification program for the first time. As part of the program Gazprom is to invest RUB 275 million in the regional gasification. The funds will be allocated for engineering and construction of a gas lateral connecting the automated gas distribution station in Petropavlovsk-Kamchatsky to CHPP-2.

The Kamchatka Krai gasification level is below 1 per cent (LNG is not supplied). Natural gas in the amount of 9 million cubic meters is supplied to the settlements of Sobolevo and Ustyevoye on the western coast of Kamchatka from the Kshukskoye gas and condensate field.