Venezuela
Strategy
The development strategy of Gazprom as a global energy company is targeted at creating the entire gas chain from hydrocarbon production to marketing in the new markets and based on production capacities located outside Russia.
Within this strategy the Company maintains cooperation aimed at developing hydrocarbon resources in Venezuela, Vietnam, India, Bolivia, Algeria, Libya and the Caspian Sea as well as studies the possibility of participating in oil and gas projects in Egypt and Pakistan.
Cooperation
Gazprom performs its activity in Venezuela within the Memorandum of Understanding signed with PdVSA in January 2005. The document envisages Gazprom's possible participation in joint oil and gas projects with PdVSA.
The Venezuelan side inked the contracts to develop the General Scheme for the gas industry development in Venezuela and the Framework Agreement to provide a wide range of engineering and consulting services.
In September 2008 Gazprom and PDVSA signed the Memorandum of Understanding on the Blanquilla Este y Tortuga project embracing natural gas exploration and production offshore Venezuela, its supply to the domestic market, as well as its liquefaction and export.
License awarding ceremony of October 4, 2005. From left to right: Alexey Miller, Chairman of the Gazprom Management Committee, Hugo Chavez, President of Venezuela and Vasily Podyuk, Member of the Gazprom Management Committee – Head of the Department of Gas, Gas Condensate and Oil Production
Rafael Urdaneta project
In September 2005 Gazprom was proclaimed the winner of the tender for exploration and development of natural gas fields in the Gulf of Venezuela within the Rafael Urdaneta project (Urumaco I and Urumaco II Blocks).
The forecasted natural gas reserves of the Blocks make up some 100 bcm.
Pursuant to the terms of the tender for Urumaco I and Urumaco II Blocks Gazprom established UrdanetaGazprom I and UrdanetaGazprom II Companies that were obliged to act as an operator at the relevant licensed blocks.
In May 2007 under the terms of the licenses issued, Gazprom completed the first stage of geological exploration and decided to drill test wells.
At the moment stage two of the project's geological exploration is in progress stipulating drilling one exploratory well at each block. In November 2008 well drilling at Urumaco 1 Block was initiated.