The Gazprom Headquarters today hosted a working meeting between Alexey Miller, Chairman of the Company’s Management Committee and Vyacheslav Dudka, Governor of the Tula Oblast.

The parties discussed the progress with the Agreement of Cooperation between Gazprom and the Tula Oblast Administration addressing, in particular, the prospects for constructing new gasification facilities in the region and for upgrading the existing gas distribution stations.

Alexey Miller and Vyacheslav Dudka highly appreciated the Tula Oblast gasification program execution. It was noted that the activities were carried out in full compliance with the synchronization schedule and could be a good example of effective cooperation between Gazprom and regional authorities.

In addition, the Tula Oblast shows a high level of the payment discipline. Gas consumers in the region have been paying for the gas supplied in advance for over six years now.

Background:

The Agreement of Cooperation between Gazprom and the Tula Oblast Administration was signed in June 2005.

In 2008 the Tula Oblast was supplied with some 7.5 billion cubic meters of natural gas. This year deliveries are planned at roughly the same rate.

The average gasification level of the Tula Oblast has considerably increased by the year beginning and accounted for 81.5 per cent, including 91.1 per cent in cities and towns and 47.6 per cent in the rural area. The identical figures throughout Russia average 62, 67 and 44 per cent respectively.

Between 2002 and 2008 Gazprom committed over RUB 2 billion to gasify the Tula Oblast. In 2009 Gazprom’s investments in the Oblast’s gasification averaged RUB 85 million. These funds were used to finalize the construction of 7.5-kilometer-long inter-settlement gas pipeline and to start another 27.9 kilometer-long gas pipeline.

The Tula Oblast has earmarked RUB 100 million for the 2009 gasification program, with RUB 60 million for the construction of gas distribution networks. According to the synchronization schedule of this year’s gasification program, the Oblast Administration will construct 3.5 kilometers of street-level networks (implemented by 94 per cent), gasify 844 households (implemented by 95 per cent), and switch one boiler house to gas (implemented by 100 per cent).