The Gazprom headquarters hosted today a working meeting between Alexey Miller, Chairman of the Company’s Management Committee and Ulugbek Nazarov, Chairman of the NHC Uzbekneftegaz Management Committee.

The meeting participants addressed the Russian-Uzbek cooperation in the oil and gas sector, and, in particular, the progress with the joint projects implementation in the Republic of Uzbekistan.

The meeting also discussed preparation of a long-term contract for gas supply from Uzbekistan and the companies’ interaction within natural gas transit across Uzbekistan.

Background:

The Agreement on Strategic Cooperation in the gas industry was entered into by NHC Uzbekneftegaz and Gazprom on December 17, 2002. In particular, the Agreement stipulates long-term purchase of Uzbek gas for the period between 2003 and 2012, Gazprom’s participation in natural gas production projects in the Republic of Uzbekistan under the Production Sharing Agreement terms, as well as cooperation in  Uzbekistan’s gas transmission infrastructure development and Central Asian gas transmission across the Republic.

On February 5, 2005 Gazprom and Joint-Stock Company Uztransgaz (sub-holding of NHC Uzbekneftegaz) signed the Mid-Term Agreement on natural gas transmission across the Republic of Uzbekistan over 2006 to 2010. The Agreement pursues the objective of transporting Central Asian, primarily Turkmen, natural gas with the use of the Central Asia – Center (CAC) and Bukhara – Urals gas transmission systems running through the Republic of Uzbekistan.

On January 1, 2009 Gazprom coordinated the terms and conditions for natural gas supply from Uzbekistan for 2009 and signed the addendum to the Uzbek gas supply contract providing for a price formula based on the European average gas prices.

Taking into account the previous agreements, Gazprom’s portfolio will be replenished with the total of up to 15.5 billion cubic meters of gas purchased from Uzbekistan.