BOARD OF DIRECTORS APPROVES GAZPROM STRATEGY FOR POWER INDUSTRY

The Board of Directors’ meeting is in progress at the Gazprom Headquarters.

The Board of Directors approved the Gazprom strategy for the power industry.

The strategic business development targets of Gazprom in the power generation sector are increasing the Company’s capitalization through bigger returns on capital, diversifying tariff control risks, leveraging the national fuel balance and achieving a synergetic effect in the gas and power sectors.

Gazprom’s target assets in the power industry are now being identified with due regard of the UES of Russia restructuring processes and the market situation.

Reference:

The Gazprom Energy Strategy hinges on the following basic elements:

• access to a free electricity pricing regime and regulatory risk diversification;
• profit realization from power generation;
• synergetic effects of vertical integration;
• subsidiary energy supply optimization;
• investment potential utilization for the key assets of generation companies;
• risk hedging;
• fuel balance diversification in Russia’s power sector.