Alexander Ananenkov delivers report at international conference of investors
Alexander Ananenkov, Deputy Chairman of Gazprom’s Management Committee participated today in the 8th International Conference of Investors “Russia After Elections: Big Hopes”.
Presenting his report, A. Ananenkov identified crucial aspects of Gazprom’s investment activities aimed at natural resources exploitation.
According to A. Ananenkov, independent auditing of the Company’s hydrocarbon reserves, having been conducted for so far 8 years, shows consecutive growth of Gazprom’s resource base value. “The increased hydrocarbon reserve value is a core factor of the Company’s capitalization growth,” – stressed Alexander Ananenkov.
A. Ananenkov identified major businesses targeted at building up Gazprom’s gas reserves. “Gas extraction growth must be achieved through the resource base expansion to be accomplished by conducting exploration and actively implementing a licensing policy,” – he was quoted as saying.
The Gazprom-elaborated Program on the gas industry resource base development up to 2030 prescribes development of new gas-bearing provinces located, in particular, on the Yamal Peninsula, in Eastern Siberia and the Far East.
The above-mentioned Program implementation will make it possible to produce over 2004 to 2030 additional 26–27 tcm of gas, including 6 tcm to be extracted in eastern Russia. Some USD 32 billion will need to be allocated for these purposes.
The Program on the gas industry resource base development up to 2030 was elaborated by Gazprom in 2002. The Document fixes main directions of Gazprom’s prospecting and licensing policy aimed at the Russian resource base replenishment.
The Program envisages substantial build-up of gas reserves, allowing Gazprom to produce in 2020 and 2030 some 590 and 630 bcm of gas, respectively.
At the same time, gas reserves will on an average increase by700–800 bcm per annum. Some 3.6 tcm of gas are expected to be built up before 2010.
In 2003, Gazprom channeled RUR 7.9 billion to conduct prospecting and this amount is planned to be increased to RUR 12.7 billion in 2004.
Under the RF Government’s Order dated 16 July 2002, Gazprom was appointed as coordinator in implementing the Program on establishing an integrated gas production, transmission and supply system in Eastern Siberia and the Far East.
The fact that the East Siberian and Far Eastern gas potential has been poorly explored so far (by a total of 8.3%) points to the large-scale gas production prospects in this region and predetermines the need to back prospecting and develop a united program on discovering new gas and oil and gas fields.
The proved gas reserves are forecasted to reach some 6.1 tcm between 2004 and 2030. USD 7.3 billion will be allocated to finance prospecting, including seismic survey.
The International Conference of Investors (called this year “Russia After Elections: Big Hopes.”) is annually arranged by the Renaissance Capital Investment Group. The Conference is attended by representatives of the world’s leading investment businesses.
Information Directorate, OAO Gazprom