Gazprom and OMV sign Basic Agreement on Asset Sale
Alexey Miller, Chairman of the Gazprom Management Committee, and Rainer Seele, Chairman of the Executive Board of OMV, today signed in St. Petersburg a Basic Agreement on Asset Sale.
The signing ceremony took place in the presence of Vladimir Putin, President of the Russian Federation, and Sebastian Kurz, Federal Chancellor of Austria, at the State Hermitage Museum.
Rainer Seele and Alexey Miller signing Basic Agreement on Asset Sale in presence of Sebastian Kurz and Vladimir Putin. Photo by TASS
In accordance with the document, OMV will obtain a 24.98 per cent stake in the project for developing Blocks 4A and 5A in the Achimov formations of the Urengoyskoye field. As a result, the Gazprom Group’s stake in the project will decrease to 50.01 per cent, while Wintershall Holding will retain its share of 25.01 per cent. The parties plan to enter into the final agreement on the deal in early 2019.
“We are opening up new horizons for our 50-year strategic cooperation with OMV. Our reliable Austrian partner is joining another crucial project: the development of the Achimov formations in the Urengoyskoye field. We will sign the final document in 2019, and the development of Blocks 4A and 5A is planned until 2069. This means that we have another 50 years of fruitful work ahead of us,” said Alexey Miller.
“Based on successful 50 years of cooperation we upgrade our strategic partnership with Gazprom along the entire value chain from production in Russia to the supply of European gas markets,” said Rainer Seele.
Also today, Vladimir Putin, President of the Russian Federation, and Sebastian Kurz, Federal Chancellor of Austria, opened at the State Hermitage Museum the “Imperial Capitals: St. Petersburg – Vienna. Masterpieces of Museum Collections” exhibition organized with support from Gazprom and OMV.
OMV AG is Gazprom’s main partner in Austria. The companies cooperate in gas production, transportation and supplies.
On June 5, 2018, an Agreement was signed to extend until 2040 the existing contract between Gazprom Export and OMV Gas Marketing & Trading GmbH for Russian gas supplies to Austria. The contract had been valid until 2028.
June 1, 2018, marked 50 years since the start of Russian gas supplies to Austria.
In 2017, Gazprom set a new record for gas exports to Austria at 9.1 billion cubic meters, a rise of 50.3 per cent (3 billion cubic meters) from 2016 (6.1 billion cubic meters) and 33.7 per cent (2.3 billion cubic meters) from 2005, when the previous record had been reached (6.8 billion cubic meters).
Since 2017, OMV has been partnering with Gazprom in the Yuzhno-Russkoye oil, gas and condensate field development.
Since 2016, Gazprom and OMV have been holding the “Imperial Capitals: St. Petersburg – Vienna” events uniting the art and history of Russia and Austria as part of the Memorandum on the implementation of a joint cultural project. Specifically, the companies organized an exhibition of world painting masterpieces from the collections of the State Hermitage Museum in St. Petersburg and the Kunsthistorisches Museum in Vienna. From June to September 2018, the exhibition was displayed at the Kunsthistorisches Museum and from October to January 2019, it will be held at the State Hermitage Museum.