2007

January

Led by Alexander Medvedev, Deputy Chairman of the Management Committee, Gazprom’s delegation paid a visit to Algeria.

Gazprom and the Republic of Ingushetia entered into the Agreement of Cooperation.

Alexey Mityushov was appointed Director General of Gazpromenergo.

Yaroslav Golko, Head of the Gazprom Investment and Construction Department and Igor Fyodorov, Director General of Gazkomplektimpex were elected as Members of the Gazprom Management Committee for a five-year period.

Bogdan Budzulyak, Member of the Management Committee – Head of the Gas Transportation, Underground Storage and Utilization Department of Gazprom was awarded the State Duma Merit Certificate for a substantial contribution to developing Russia’s legislation and parliamentarism, ensuring the rights and liberties of citizens, reinforcing the democracy and the constitutional system in Russia as well as for playing an active sociopolitical role.

GazprombankGazprombank was named as the Best Futures Dealer 2006 according to over 120 dealers polled by the Moscow International Currency Association.

Gazprom headed the 2006 list of top most mentioned Runet brands according to Webscan Technologies, the leading provider of system monitoring services for internet communications.

February

Gazprom issued its unaudited consolidated interim condensed financial statements prepared under International Accounting Standard 34 “Interim Financial Reporting” (IAS 34) for the nine months ended September 30, 2006.

The Board of Directors resolved to convene the annual General Shareholders Meeting of Gazprom on June 29, 2007 in Moscow.

The Board of Directors agreed on acquisition of stakes in 17 regional gas companies by Mezhregiongaz.

The Board of Directors agreed on the sale of a 50.6666667 per cent stake in Sibur to SIBUR Holding.

The following documents were signed:

  • Protocol of Intent between Gazprom and Siberian Coal Energy Company (SUEK);
  • Memorandum of Understanding between Gazprom and YPFB;
  • Memorandum of Understanding between Gazprom and Brazilian oil and gas company Petrobras;
  • Contract for natural gas supply to Turkey between Gazprom Export and Turkish Shell Enerji.

Led by Alexey Miller, Chairman of the Gazprom Management Committee, the Company’s delegation paid a visit to Saudi Arabia, Jordan and Qatar.

Gazprom’s delegation took part in the Krasnoyarsk Economic Forum.

March

The following documents were signed:

  • Production Sharing Agreement (PSA) between Gazprom and Libya’s National Oil Corporation stipulating hydrocarbons exploration and production in block No. 19 on Libya’s continental shelf in the Mediterranean Sea;
  • Agreement between Gazprom and the Jewish Autonomous Oblast;
  • Agreement of Cooperation between Gazprom and the Republic of Adygea.
Aslanchery Tkhakushinov, President of the Republic of Adygea and Alexey Miller, Chairman of the Gazprom Management Committee

Aslanchery Tkhakushinov, President of the Republic of Adygea and Alexey Miller, Chairman of the Gazprom Management Committee

Gazprom opened the Moscow affiliate of its Non-Government Educational Institution for Career Development and Retraining of Managers.

The Company’s Board of Directors agreed on the acquisition by Gazprom of 28.74 and 25.26 per cent stakes in Prospecting Company Kuznetsk from Methane Investors and Methane Exploration & Production Limited (Cyprus) respectively.

The Company’s Board of Directors agreed on the acquisition by Gazprom of a 78.3 per cent stake in Gaz-Oil from Mostransgaz, Lentransgaz, Intercom, TKP PRANT and Meridian-ART.

Sergey Khomyakov was appointed Deputy Chairman of the Gazprom Management Committee.

Gazprom was recognized as the most reputed company in the business community according to the Fortune magazine.

April

The following documents were signed:

  • Contract for natural gas supply to Romania over 2010 to 2030 between Gazprom and Conef Energy;
  • Sci-Tech Cooperation Program and Protocol between Gazprom and Korea Gas Corporation (Kogas);
  • Memorandum of Understanding between Gazprom Marketing & Trading and Luxembourg’s Soteg on setting up a joint venture on a parity basis to construct a combined-cycle gas turbine (CCGT) unit in Germany;
  • Purchase and Sale Agreement between Sakhalin Energy Investment Company (Sakhalin Energy), the Sakhalin II project operator, and Gazprom;
  • six-year Agreement on the purchase of CO2 emission permits between Gazprom Marketing & Trading and Brazil’s Propower;
  • Agreement of Cooperation over 2007 to 2008 between Gazprom and the Vologda Oblast;
  • Agreement of Cooperation between Gazprom and the Aginsk Buryat Autonomous Okrug.

The Gazprom Board of Directors agreed on the sale of the Company’s 25.000004 per cent stake in SIBUR Holding to Gazfond Non-State Pension Fund and the acquisition by Gazprom of a 10.0887 per cent stake in Mosenergo from Gazfond.

The Board of Directors agreed on the acquisition of up to 11,500,000,000 additionally issued shares of Mosenergo by Gazprom.

The Gazprom Board of Directors agreed on the Company’s participation in Beltransgaz through the purchase of a 50 per cent stake for USD 2.5 billion from the Republic of Belarus.

Gazprom summed up the results of the tender for the selection of an auditing company responsible for performing statutory annual audit of Gazprom. PricewaterhouseCoopers Audit was announced the tender winner.

The Gazprom Board of Directors made a decision to open the Company’s representative office in the Sakhalin Oblast.

The Company’s Board of Directors approved the Gazprom Power Generation Strategy.

The Targeted Comprehensive Program for the CNG Filling Network and NGV Fleet Development over 2007 to 2015 was approved.

May

The following documents were signed:

  • Purchase and Sale Agreement for Beltransgaz shares between Gazprom and the State Property Committee of the Republic of Belarus. Pursuant to the Agreement, Gazprom was to purchase a 50 per cent stake in Beltransgaz, worth USD 2.5 billion to be paid up in four equal stages between 2007 and 2010. At each stage Gazprom was to buy a 12.5 per cent stake in Beltransgaz;
  • Contract for Russian natural gas supply to Turkey between Gazprom Export and Turkish Bosphorus Gas;
  • Memorandum of Understanding between Gazprom and OMV;
  • Joint Actions Agreement and the Operational Agreement on financial services and procurement services for the combined-cycle gas turbine (CCGT) unit construction project in Germany between Gazprom and Soteg;
  • Sci-Tech Cooperation Program between Gazprom and Verbundnetz Gas over 2007 to 2009.

Phase 1 of the Haidach underground gas storage facility was completed.

The upgraded first leg of the Kanchurinsko-Musinsky underground gas storage complex was put into operation.

The Gazprom Management Committee approved the updated key figures of the Gazprom Investment Program and draft Budget (Financial Plan) for 2007.

Gazprom was announced the winner of the auctions to develop the Seyakhinsky, Nilivoysky and Tazovsko-Zapolyarny blocks located in the Yamal-Nenets Autonomous Okrug.

Gazprom set up Gazprom Pererabotka, Gazprom Pererabotka-Surgut and Gazprom Pererabotka-Urengoy as part of enhancing the corporate governance structure. The companies had been unbundled from Severgazprom, Surgutgazprom and Urengoygazprom accordingly.

June

The annual General Shareholders Meeting of Gazprom took place. The newly elected Board of Directors elected Dmitry Medvedev, First Deputy Prime Minister of the Russian Federation as Chairman of the Gazprom Board of Directors, and Alexey Miller, Chairman of the Gazprom Management Committee was named as Deputy Chairman of the Gazprom Board of Directors.

Gazprom issued its audited consolidated financial statements for the year ended December 31, 2006 prepared under the International Financial Reporting Standards.

The following documents were signed:

  • Agreement on the major principles for joint venture creation and operation based on the Orenburg Gas Processing Plant between Gazprom and KazMunaiGaz;
  • Memorandum of Cooperation between Gazprom and Petronas;
  • Agreement on major terms and conditions among Gazprom, BP Group and TNK-BP. The Agreement contemplates establishing a strategic alliance among the companies for long-term investment in joint energy projects as well as asset swaps in Russia and third countries;
  • Memorandum of Understanding for the South Stream project execution between Gazprom and Eni.

Gazprom’s delegation took part in the 11th International Economic Forum held in Saint Petersburg and the 10th Annual General Meeting of the European Business Congress (EBC).

Gazprom was announced the winner of the auctions to develop the subsurface resources of the Arakansky and Yudokonsky blocks in the Krasnoyarsk Krai.

July

Nadymgazprom and Noyabrskgazdobycha were announced the winners of the auctions to develop the Nyakkhobsky and Verkhnekhudoseisky blocks in the Yamal-Nenets Autonomous Okrug.

Boris Fyodorov was re-elected as the Audit Committee Chairman and German Gref, Economic Development and Trade Minister of the Russian Federation was re-elected as the Asset Evaluation Committee Chairman.

The following documents were signed:

  • Call Option Agreement between Gazprom and Lundin Petroleum on the purchase of a 50 per cent plus one share stake in the company owning the development license for the Lagansky block in the Russian sector of the Caspian Sea;
  • Framework Agreement on major terms and conditions of cooperation within Phase 1 of the Shtokman gas and condensate field development among Gazprom, Total and Sevmorneftegaz;
  • Accord on Gasification between Gazprom and the Krasnoyarsk Krai;
  • Agreement of Cooperation between Gazprom and the Republic of Sakha (Yakutia).
Alexander Ananenkov, Acting Chairman of the Gazprom Management Committee and Vyacheslav Shtyrov, President of Republic of Sakha (Yakutia) signing the Agreement of Cooperation

Alexander Ananenkov, Acting Chairman of the Gazprom Management Committee and Vyacheslav Shtyrov, President of Republic of Sakha (Yakutia) signing the Agreement of Cooperation

Gazprom endorsed the Industry Automation, Metrological Support and Communication Standards System for Gazprom’s Production and Technology Complex.

Alisher Usmanov, Head of Gazprominvestholding was rewarded with a prestigious prize as the Best Media Manager of Russia.

August

The Gazprom Board of Directors approved the updated Investment Program and Budget (Financial Plan) for 2007.

Commercial influx of natural gas was obtained during testing of the first prospecting well in the Bao Vang area at block No. 112 of the continental shelf of the Socialist Republic of Vietnam in the Gulf of Bac Bo.

Alexey Miller, Chairman of the Gazprom Management Committee was granted the title of an honorary citizen of the Leningrad Oblast for ensuring efficient cooperation between Gazprom and the Leningrad Oblast in various areas including gasification.

Russian Public Opinion Research Center released its Business Standing of the Leading Russian Companies research results. Gazprom was on top of the Raw Material and Steel Companies list.

September

The following documents were signed:

  • Accord on Gasification between Gazprom and the Republic of Tatarstan;
  • Order on Approval of Regulation on Gazprom’s Environmental Inspectorate;
  • Order on Establishment of Coordinating Committee for South Stream Project. Alexander Medvedev, Director General of Gazprom Export was appointed the Committee Head.

Gazprom was among the best hundred in the Platts Top 250 Global Energy Companies Ranking, which examined each company’s assets, revenue, profit and return on invested capital.

Gazprom was recognized number one in terms of profit, assets and capital among Russia’s 500 largest companies according to the Finance magazine.

October

Gazprom issued its unaudited consolidated interim condensed financial statements prepared under International Accounting Standard 34 “Interim Financial Reporting” (IAS 34) for the three months ended March 31, 2007.

The following documents were signed:

  • Agreement of Cooperation over 2007 to 2011 between Gazprom and the Khanty-Mansiysk Autonomous Okrug;
  • Memorandum of Cooperation between Gazprom and the Volga Federal District;
  • Framework Agreement on the major terms and conditions of cooperation within Phase 1 of the Shtokman gas and condensate field development between Gazprom and StatoilHydro;
  • Contract for natural gas supply from Russia to Turkey in the amount of 500 million cubic meters per year until 2021 between Gazprom and Turkey’s Avrasya Gaz.

The Sudzha – Korenevo – Glushkovo gas lateral was put onstream. The lateral conveys gas from the gas trunkline system of the Uzhgorod corridor to consumers in the Korenevo and Glushkovo Districts of the Kursk Oblast.

The Gazprom Board of Directors approved the purchase of Russian Energy Projects Company (REP) and a stake in Territorial Generating Company No. 1 (TGC-1).

The gas lateral to Belokurikha (Altai Krai) was put into operation.

The startup complex of the Yuzhno-Russkoye oil, gas and condensate field was commissioned.

Gazprom Group increased its stake in the authorized capital of Wingas to 50 per cent less one share. In its turn, BASF acquired 25 per cent less one ordinary share and one preference non-voting share as an equivalent of the 10 per cent stake in the project.

Gazprom finished reorganization of Gazprom UGS (100 per cent subsidiary of Gazprom) as part of the ongoing enhancement of its corporate governance structure.

Alexander Medvedev, Viktor Ilyushin, Vasily Podyuk, Kirill Seleznev Seleznev and Konstantin Chuichenko were re-elected as the Gazprom Management Committee Members for a five-year period.

Gazprom’s delegation took part in the celebrations dedicated to the fifth anniversary of the Energy Delta Institute.

November

Gazprom’s delegation joined the Prague celebrations dedicated to the 40th anniversary of Russian natural gas deliveries to the Czech Republic.

Gazprom commissioned the gas pre-treatment unit (UPPG-10) at the Kharvutinskaya area of the Yamburg oil, gas and condensate field.

The following documents were signed:

  • Umbrella Agreement on the joint participation of Gazprom and Nederlandse Gasunie in the Nord Stream and BBL gas pipeline projects as well as on the use of Gasunie’s gas transmission capacities in the Netherlands;
  • Supplement to the Memorandum of Understanding for the South Stream project execution between Gazprom and Eni;
  • Agreement of Cooperation for 2008 between Gazprom and the Leningrad Oblast;
  • Supplementary Contract for natural gas supply from Turkmenistan;
  • Memorandum of Intent in the area of high value added hydrocarbons processing among Gazprom, SIBUR Holding, and The Dow Chemical Company.

The Kamensk-Shakhtinskaya compressor station (CS) was put into operation in the Rostov Oblast. Thus, the Sokhranovka CS – Oktyabrskaya CS gas trunkline construction was completed.

Gazprom established Gazprom YRGM Trading to purchase gas produced in the Yuzhno-Russkoye field from Sevmorneftegaz and sell it in the amount that is proportionate to a BASF stake in the field development project.

Sergey Shilov was elected Director General of Gazprom UGS.

According to the Fortune magazine, Gazprom was the only Russian company listed among the top hundred corporations with the highest awareness of social and environmental issues.

Zenit Saint Petersburg won the national football championship in the final round for the first time in Russia’s modern history. Gazprom is the club’s general sponsor.

December

Gazprom issued its unaudited consolidated interim condensed financial statements prepared under International Accounting Standard 34 “Interim Financial Reporting” (IAS 34) for the six months ended June 30, 2007.

The following documents were signed:

  • Sci-Tech Cooperation Agreement between Gazprom and Gaz de France;
  • Sci-Tech Cooperation Agreement between Gazprom and Nederlandse Gasunie;
  • Certificate on the asset swap deal closing between Gazprom and BASF in the gas production and marketing sectors;
  • five-year Accord on Gasification between Gazprom and the Jewish Autonomous Oblast;
  • five-year Accord on Gasification between Gazprom and the Kamchatka Krai;
  • Agreement of Cooperation for 2008 between Gazprom and the Saint Petersburg Government;
  • Supplement to the mid-term Agreement on the Uzbek gas transportation for 2008 as well as the Supplement to the Gas Supply Contract.

Gazprom was announced the hydrocarbons exploration and development tender winner for Land Area 64 (blocks No. 1, 2 and 3) located in the Libyan Ghadames Basin. With 16 bidders involved, the tender was organized by Libya’s National Oil Corporation (NOC).

The Yuzhno-Russkoye oil, gas and condensate field was brought into commercial operation.

Frank-Walter Steinmeier and Dmitry Medvedev during Yuzhno-Russkoye field commissioning ceremony

Frank-Walter Steinmeier and Dmitry Medvedev during Yuzhno-Russkoye field commissioning ceremony

Gazprom awarded its 2007 Science and Technology Prize.

Phase 1 of the gas trunkline linking the Bratsk gas and condensate field (GCF) with Bratsk was brought onstream.

Vitaly Kutepov was appointed President of Vostokgazprom and Director General of Tomskgazprom.

Gazprom became the winner of the prestigious national Company of the Year 2007 award in the Delivery of Socially Significant Projects nomination.

Based on the social studies performed by the Russian Public Opinion Research Center, Gazprom was among Russia’s top three socially responsible companies.