A working meeting between Alexey Miller, Gazprom’s Management Committee Chairman and Augustin Cisar, Extraordinary and Plenipotentiary Ambassador of the Republic of Slovakia in Russia, was held today at Gazprom’s Headquarters. The meeting addressed prospects of bilateral cooperation in the gas business.

Reference:

Slovakia is one of Gazprom’s key partners in East Europe, primarily, due to the country’s role in Russian gas transmission to major European markets. Slovakian gas pipelines transit some 80% of the total Russian gas delivered to West Europe.

The SPP company is a monopolist in natural gas transmission, storage and distribution within Slovakia. SPP owns 4 gas mains with the total length of 2,268 km and annual capacity of 93 bcm. The Slovakian gas transmission system annual throughput is likely to be increased by 20 bcm in the short term. SPP has access to Slovakian and Czech gas storage facilities with the total capacity of 1.8 bcm.

In 2003, Russian gas supplies to Slovakia, including gas delivered as settlement for gas transit and to compressor stations, accounted for 7.3 bcm.

In August 2001, the Slovakian Government announced a competitive tender on buying into a 49% stake in SPP. In March 2002, the Consortium composed of Gazprom, Gaz de France and Ruhrgas AG became the tender winner.

Under an accord reached, on 11 July 2002, Ruhrgas AG and Gaz de France acquired on a par 49% of shares in SPP, including Gazprom’s share (16.33%), granting the latter company a 2-year option to buy out the stake. The transaction amount accounted for USD 2,765 million.

In February 2004, the parties achieved an agreement to extend a term of the option until 31 December 2005 and identified the deal funding arrangement.

DIVISION OF RELATIONS WITH MASS MEDIA