The Gazprom Headquarters has hosted today a working meeting between Alexey Miller, Chairman of the Gazprom Management Committee and Vladimir Semashko, First Deputy Prime Minister of the Republic of Belarus.

The parties discussed the principle matters of bilateral cooperation in the gas industry. In particular, the meeting examined Beltransgaz business activity as regarding to Gazprom participation in the company’s charter capital.

In the course of the meeting it was also noted that Gazprom would probably participate in investment projects in the Belarusian territory in the power generation and mineral fertilizers production sector.

Alexey Miller and Vladimir Semashko particularly specified that the compliance with terms and conditions of the December 31, 2006 Gas Supply & Transit Contract between Gazprom and Beltransgaz for 2007 through 2011 is of top priority.

Reference:

On December 31, 2006, Gazprom and Beltransgaz signed a five-year Gas Supply & Transit Contract for 2007 through 2011. The parties identified the price of Russian gas for 2007 (US$ 100 per 1,000 cu m) and the pricing formula starting from January 1, 2008 (which is in line with the Russian gas supply pricing formula for Europe).

The document stipulates the tariff rate for gas supply by the Beltransgaz owned networks (US$ 1.45) and the service charge for the Yamal – Europe gas pipeline operation (calculating using the formula).

On December 31, 2006 Gazprom and the Government of Belarus signed also the Protocol stipulating that Gazprom would pay US$ 2.5 bln in equal portions for a 50% stake in Beltransgaz for over the next four years.

In May 2007 Gazprom and the State Property Committee of the Republic of Belarus signed a purchase and sale agreement of Beltransgaz shares. In June Gazprom purchased a 12.5 per cent stake in Beltransgaz and committed US$ 625 mln.