Gazprom to Speed Up and Expand Exploration in the Far East (Russia)

The Gazprom headquarters on Friday hosted a meeting moderated by Alexey Miller Chairman of the Company’s Management Committee. The meeting was dedicated to the resource base development needed for the Eastern Gas Program and carried out, inter alia, as part of the Power of Siberia gas transmission system (GTS).

The meeting addressed, in particular, planning and arranging of work on exploration and pre-development of fields in the Sakhalin, Yakutia and Irkutsk gas production centers.

It was noted that in those regions Gazprom owned abundant gas reserves enabling the Company to secure sufficient long-term gas supplies to Russian and foreign consumers.

Taking into account the intensified growth of gas demand in this region, the Company’s specialized structural units were tasked to speed up and expand the scope of exploration activities in the fields of the Sakhalin, Yakutia and Irkutsk gas production centers.

Background

The September 2007 order by the Russian Federation Industry and Energy Ministry approved the state-run Development Program for an integrated gas production, transportation and supply system in Eastern Siberia and the Far East, taking into account potential gas exports to China and other Asia-Pacific countries (Eastern Gas Program). Gazprom was appointed by the Russian Federation Government as the Program execution coordinator.

As part of the Program, Eastern Russia has already seen the creation of new gas production centers in Sakhalin and Kamchatka. A gas production center is being shaped in Yakutia; similar centers in Irkutsk and Krasnoyarsk are next in turn.

The Power of Siberia GTS will be common for the Irkutsk and Yakutia gas production centers and will deliver their gas to Vladivostok via Khabarovsk.

At the moment, commercial reserves of the Eastern Gas Program amount to 5.2 trillion cubic meters.

Press Release, March 25, 2013

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