Today at the Gazprom headquarters Alexey Miller, Chairman of the Company's Management Committee and Natalia Komarova, Governor of the Khanty-Mansiysk Autonomous Okrug – Yugra signed the Cooperation Agreement for 2011–2013.

The Agreement sets forth the key areas of bilateral cooperation, including provision of uninterrupted gas supply to the regional consumers in the agreed amount, development of the regional gas transmission system, implementation of energy saving technologies.

Gazprom and the Khanty-Mansiysk Autonomous Okrug – Yugra will implement programs to expand utilization of natural, compressed and liquefied gas in autonomous gasification as well as compressed natural gas utilization as a motor fuel, convert gas-fired boiler houses to the combined heat and power generation cycle and recover waste heat at gas pumping units.

The Government of the Khanty-Mansiysk Autonomous Okrug – Yugra will further adoption of regional laws envisaging tax preferences for the organizations involved in investment and innovation projects on the regional fuel and energy complex development.

Gazprom will ensure timely natural gas delivery to the regional consumers and consider the possibility of fuels and lubricants supply. The Company will participate in the Okrug's social and charitable programs including those aimed at saving the natural habitat and traditional activities of indigenous minorities of the North.

Background:

Gazprom and the Government of the Khanty-Mansiysk Autonomous Okrug – Yugra signed the 2007–2011 Cooperation Agreement and the Gasification Accord in October and December 2007 respectively.

Natural gas penetration in the Khanty-Mansiysk Autonomous Okrug – Yugra accounts for 38.9 per cent including 39.2 per cent in cities and towns and 36 per cent in the rural area. The identical figures throughout Russia make up 63.2, 67.5 and 45.5 per cent accordingly.

In 2009–2010 Gazprom invested RUB 400 million in gasification of the Okrug to build a 30 kilometer inter-settlement gas pipeline between the AGDS of Khanty-Mansiysk and the settlement of Lugovskoy.

In 2011 the Company is to allocate RUB 150 million for construction of three inter-settlement gas pipelines with the overall length of 25 kilometers.