Gazprom headquarters hosted today a working meeting among Alexey Miller, Chairman of the Company's Management Committee, Umirzak Shukeyev, Head of the Samruk-Kazyna National Welfare Fund, Chairman of the KazMunaiGaz Management Board and Kairat Boranbayev, Chairman of the KazRosGaz Management Board.

The meeting focus was placed on taking new opportunities available after the Common Economic Space had been established in Russia, Kazakhstan and Belarus. The parties looked at the issues of cooperation deepening throughout the entire production chain from geological exploration to hydrocarbons distribution. It was noted that the relationship between Russia and Kazakhstan was strategic by nature, and the partnership in the energy sector enjoyed a unique position in strengthening the economic ties between the two countries.

Background

According to provisional estimates, in 2011 Gazprom Group marketed 3.7 billion cubic meters of natural gas (10 per cent more as compared to 2010) in Kazakhstan.

KazRosGaz is a joint venture set up by Gazprom and NK KazMunaiGaz on a parity basis. The JV deals with purchase, marketing, processing, transmission and distribution of natural gas and its commercial products in the domestic and foreign markets.

On September 7, 2010 Russia and Kazakhstan entered into the Intergovernmental Agreement on joint exploration and prospecting of the cross-border Imashevskoye gas and condensate field. KazRosGaz was identified as the project operator. The Imashevskoye field contains over 100 billion cubic meters of explored gas reserves. The Russian sector of the Imashevskoye field is currently a part of the non-licensed stock of subsurface resources.

The aggregate recoverable resources of the Tsentralnoye field make up 101.4 million tons of oil, 7.5 million tons of condensate and 162.1 billion cubic meters of natural gas. In accordance with the Joint Statement by Russian and Kazakh Presidents, TsentrCaspneftegaz (a joint venture between Gazprom and Lukoil) is tasked with preparing a Tsentralnoye Field Production Sharing Agreement for signing until the end of 2012.

The Samruk-Kazyna National Welfare Fund was set up in October 2008. It is primarily focused on managing its shareholdings in national companies and other legal entities in order to raise their competitiveness in global markets.