Gazprom, Serbia Sign Long-Term Gas Supply Contract

Led by Alexey Miller, Chairman of the Gazprom Management Committee the Company’s delegation paid a visit today to the Republic of Serbia. As part of the visit, working meetings took place with Tomislav Nikolic, President of the Republic of Serbia and Ivica Dacic, Serbian Prime Minister.

The parties addressed the status of the Russian-Serbian cooperation in the energy sector, paying special attention to the progress with the South Stream project execution. In particular, it was mentioned that on February 21 the Serbian Parliament awarded a special status to the gas pipeline. The adopted bill will help facilitate the procedures required for successful execution of the project, including land allocation for the gas pipeline construction.

In the presence of Ivica Dacic, Serbian Prime Minister a long-term contract was signed for Russian gas supplies to Serbia in the amount of up to 1.5 billion cubic meters of gas annually for a period of 10 years. Gas will be conveyed via the existing route and in the future – via the South Stream gas pipeline.

As part of the visit, a meeting took place with Aleksandar Vucic, First Deputy Prime Minister and Minister of Defense of the Republic of Serbia. The meeting participants considered the current state and prospects for the joint projects. It was noted that mutual development of the Serbian oil and gas infrastructure not only enhanced the country’s energy security, but also increased the general level of economic development in the Republic.

Alexey Miller also visited the first European filling station under Gazprom brand in Belgrade and the upgraded Pancevo oil refinery.

In addition, Alexey Miller held a meeting dedicated to NIS activities. Special attention was paid to the current status and development plans of the company’s processing and power facilities.

“Today Gazprom and Serbia confirmed the strategic nature of the bilateral cooperation in the oil and gas sector. A long-term contract was signed, Serbia received the guarantees of gas supplies at a good price. Successful execution of joint projects in oil production and processing as well as underground gas storage strengthens our partner relations. The South Stream project – the largest European infrastructure project for today – will include Serbian companies and fully cover Serbia’s future demands for energy resources. We are looking into new power generation projects, which may become the next step in our strategic partnership,” said Alexey Miller.

[mappress]
LNG World News Staff, March 28, 2013; Image: South Stream