Gazprom Closes Rosneftegaz Deal, Russia
Gazprom and Rosneftegaz signed a purchase and sale agreement for Rosneftegaz-owned shares in 72 gas distribution companies (GDC).
The deal is concluded pursuant to the Russian Government’s Directive of November 13, 2010. The deal is worth RUB 25,861,590,218.
The acquisition of GDC shares is part of Gazprom’s consistent efforts aimed at consolidating gas distribution assets as well as streamlining the business processes in this sector. The main objective of these efforts is to provide the reliability and security of gas distribution systems and increase the economic efficiency of the gas distribution business.
Gazprom is a leader in Russia’s gas distribution business. The share of gas facilities owned by Gazprom Group’s subsidiary and affiliated gas distribution companies in the Russian gas industry exceeds 80 per cent.
Subsidiary and affiliated gas distribution companies of Gazprom Group secure gas transmission via gas distribution pipelines as well as their reliable and uninterrupted operation, pursue a uniform technological policy, maintain corporate control over the compliance with the process safety requirements.
Gazprom Group runs the gas distribution business through Gazprom Gazoraspredeleniye consisting of 7 branches, 155 subsidiary and 20 affiliated gas distribution companies, as well as Gazprom Transgaz Kazan which operates gas trunklines and gas distribution systems in the Republic of Tatarstan.
As of December 31, 2012 Gazprom Group’s subsidiary and affiliated gas distribution companies owned and operated 654.4 kilometers of gas distribution pipelines moving 239.1 billion cubic meters of natural gas.
LNG World News Staff, April 10, 2013; Image: Gazprom