Alexey Miller and Paolo Scaroni confirm their intention to implement South Stream on schedule
The Gazprom headquarters hosted today a working meeting between Alexey Miller, Chairman of the Company's Management Committee and Paolo Scaroni, Chief Executive Officer of Eni.
The parties examined the current status and development prospects for cooperation in the gas sector. In particular, the meeting focused on discussing the South Stream project implementation and Russian gas supplies to Italy.
The parties stressed that entering of new partners into the offshore gas pipeline construction project should be regarded as the interest of the largest European countries in implementing South Stream successfully.
Alexey Miller and Paolo Scaroni confirmed their intention to actively cooperate on the new gas transmission system creation within the preset deadlines.
Italy is one of the major importers of Russian gas in Europe. Gazprom and Eni have established a long-standing partnership.
In 2010 the amount of gas supplied by Gazprom to Italy was equal to 13.1 billion cubic meters.
The year of 2009 was the 40th anniversary of the contract on natural gas supplies to the Apennine Peninsula, signed between Eni and the Foreign Trade Ministry of the USSR.
In November 2006 Gazprom and Eni entered into the Strategic Partnership Agreement. Under the Agreement the existing contracts for Russian gas supplies to Italy were extended until 2035. Starting from 2007 Gazprom began to directly supply the Italian market with natural gas in the amount of up to 3 billion cubic meters a year and was entitled to acquire stakes in Eni's international assets.
For the purpose of diversifying natural gas export routes Gazprom is planning to construct a gas pipeline across the Black Sea to Southern and Central Europe – the South Stream project.
Intergovernmental agreements were signed with Bulgaria, Serbia, Hungary, Greece, Slovenia, Croatia and Austria in order to implement the onshore gas pipeline section.
On September 16, 2011 Gazprom, Eni, Wintershall Holding and EDF signed the Shareholder Agreement for the offshore section of the South Stream project. As a result, the shareholding structure of the South Stream project's offshore section is as follows: Gazprom – 50 per cent, Eni – 20 per cent, Wintershall Holding and EDF – 15 per cent each.