OAO Gazprom Gas Supply to the Domestic Market. Electronic Trading Platform Operation. Russian Regions Gasification Program Execution

Transcription

1 OAO Gazprom Gas Supply to the Domestic Market. Electronic Trading Platform Operation. Russian Regions Gasification Program Execution Kirill G. Seleznev, Member of the Gazprom Management Committee, Head of the Gas and Liquid Hydrocarbons Marketing and Processing Department, Director General of Mezhregiongaz Moscow June 17, 2008

2 Gazprom Group s gas supply structure to Russian consumers in ,2% 10,5% 36,6% 16% 1,8% 6,6% 6,6% 2 Power energy 36.6% Metallurgical industry 6.6% Agrochemistry 6.6% Cement industry 1.8% Population needs 15.7% Utility sector 10.5% Miscellaneous 22.2%

3 Gas supply to Russian consumers by Mezhregiongaz over four months of 2008 by industrial sectors 3 Power energy 37.5% Gazprom 0.1% Agrochemistry 5.6% Defense industry 0.6% Defense Ministry 0.5% Agroindustry 2.5% Utility sector 12.3% Petroleum industry 0.4% Metallurgical industry 5.7% Cement industry 1.4% Petrochemistry 1.6% Avtoselkhozmash 0.9% Other industries 12.7% Population needs 18.1%

4 Price and volume indices of ETP trading in 2007 ETP prices versus FTS prices Volume of marketed gas, bcm 4 Jan. Feb. March Apr. May Jun. Jul. Aug. Sept. Oct. Nov. Dec.

5 Gas traders at ETP Gazprom and affiliated companies 60,5% TNK-BP 0,4% NK Rosneft 14,3% Trans Nafta 2,9% RealGaz 0,4% LUKOIL 8,1% NGK ITERA 1,7% NOVATEK 9,4% Centrrusgaz 0,2% Russian Gas Company 0,2% 5

6 Gas purchasers at ETP by industrial segments Power energy 55% Miscellaneous 9% 6 Agrochemistry 5% Chemical industry 3% Cement industry Metallurgical industry 24% 4%

7 bcm Price and volume indices of ETP trading in 2008 Trading prices versus FTS prices 7 Volumes from independent organizations Volumes from Gazprom and affiliated companies

8 Price and volume indices of the first half, 2007 compared to the identical parameters for the same period of 2008 Trading prices versus FTS prices Weighted average price at GDS RUB/1,000 cu m 8 first half of 2007 first half of 2008

9 Key tasks of ordering electronic trading in 2008 Marketing 7.5 bcm of gas from Gazprom and 7.5 bcm from independent producers at ETP under the Russian Federation Government Decree #851 dated December 10, Transiting from an experiment to gas marketing at ETP on a regular basis. Optimizing the balance of gas volume for spot transactions, annual and long-term agreements. Optimizing the size of penalty coefficients (1.5/ /1.5). Arranging for trade with the delivery terms on the next day in line with item 6 of the Ministry and Energy Protocol # dated December 18,

10 Gasification Program stages Over 3 years the aggregate investments have accounted for RUB 43 bln. In 2007 the number of participants accounted for 58 Russian Federation constituents ,6 8,0 12, ,

11 2007 Gasification Program 2007 investment volume totals RUB 20.2 bln The volumes of regional investments have been mainly preserved 5 regions additionally included into the Gasification Program: Irkutsk Oblast Republic of Altai Republic of Daghestan Republic of Karelia Yamal-Nenets Autonomous Okrug. 11

12 Responsibility areas of the Gasification Program participants Gazprom (Mezhregiongaz) Administration of a Russian Federation constituent Conveying gas from a gas supply source to a population center (gas consumption center) (inter-settlement pipeline) Conveying gas to ultimate users (gas distribution networks and preparation of consumers) 12 Synchronization schedule for the Russian Federation gasification programs implementation

13 Outcomes of 2007 Gasification Program execution Completed 421 gasification facilities in 53 Russian regions with the total length of 7,100 km Gazprom s commitments have been met in full 13

14 Outcomes of 2007 Gasification Program execution 421 gasification facilities have been completed 545 population centers 1.9 mln of apartments and households 10.5 thousand of utility companies 2.5 thousand of settlement boiler houses 290 agricultural enterprises have been connected to gas distribution networks 14

15 Dynamics of gasification level Gasification level of the Russian Federation regions 67% 62% 61% 54% 44% 36% Total City Rural area

16 Draft Gasification Program for 2008 RUB 23.1 bln of investments are projected for regions additionally included into the Gasification Program: Krasnoyarsk Krai; Republic of Sakha (Yakutia); Sakhalin Oblast; Khabarovsk Krai; Khanty-Mansiysk Autonomous Okrug; Republic of North Ossetia Alania. 16 The total number of participants makes up 64 regions

17 Gazprom s key strategic gasification tasks - Further build-up of gasification and gas supply to the Russian Federation constituents, taking into account regions of Eastern Siberia and the Far East. - Ensuring the implementation of national housing construction projects and development of the agroindustrial complex. 17

18 OAO Gazprom Thanks for your attention! 2008 Moscow June 17, 2008