July 18, 2008
Sakhalin-1 to Sell More Gas to Russian Far Eastern Regions
GORKI, Moscow Region. July 18 (Interfax) - Sakhalin-1, a consortium set up to locate and produce oil and natural gas on Russia's Sakhalin island and immediately offshore, will additionally sell 1.5 billion to 2 billion cubic meters of natural gas to Russian Far Eastern regions, Deputy Prime Minister Igor Sechin said on Friday.
Russia's natural gas monopoly Gazprom (RTS: GAZP) and oil company Rosneft (RTS: ROSN) have signed an agreement on "interaction in the supply of gas for Far Eastern regions," Sechin said at a meeting with Russian President Dmitry Medvedev in reporting work done to fulfill the task of helping Far Eastern regions set by Medvedev at a conference in Khabarovsk in February on development proposals for those territories.
"A basic agreement has been reached with the consortium on the sale of extra volumes of 1.5 to 2 billion cubic meters of gas produced under the project at a price not lower than volumes that have been contracted," he said.
(c) 2008 Daily News Bulletin; Moscow - English. Provided by ProQuest Information and Learning. All rights Reserved.