A Board of Directors’ meeting was held in absentia.

The Board of Directors agreed on the sale of a Gazprom 25.000004 per cent stake in Sibur Holding to Gazfond and Gazprom’s acquisition of a 10.0887 per cent stake in Mosenergo from Gazfond.

The Gazprom Management Committee was tasked to submit the relevant changes in the Budget 2007 for the Board approval.

Reference:

Power generation is a Gazprom investment policy priority to ensure a significant synergy effect given a large share of natural gas in the fuel balance of energy companies.

At present, Gazprom holds a 19.87 per cent stake in Mosenego representing the Russia-largest power generation company utilizing organic fuel. Mosenergo annually consumes more than 20 bcm of gas.

The Mosenergo stake purchase deal as well as planned participation in a Mosenergo additional share issue will result in Gazprom’s consolidation of a controlling stake in this company.