Mr Alexey Miller Chairman of the Gazprom Management Committee and Mr Vyacheslav Gaizer Head of the Komi Republic signed a Cooperation Agreement today at the Company headquarters.

The document recognizes the mutual interest of the parties in implementing Gazprom strategic gas transmission projects in the Komi Republic the Bovanenkovo Ukhta and Ukhta Torzhok gas trunkline systems construction. Among other cooperation areas, the Agreement prioritizes prospecting operations, hydrocarbons exploration and production, construction of gas supply facilities at the Syktyvkar industrial hub and the regional gasification system development, including the use of compressed natural gas and liquefied petroleum gas, elaboration and implementation of gas saving technologies and environmental safety maintenance.

Pursuant to the Agreement, the Komi Government will assist Gazprom in land allocation. In order to provide the organizations involved in targeted investment programs implementation in the Republic with economic incentives, the Komi Government will draft the local regulations stipulating tax benefits to cover the programs related to comprehensive hydrocarbon fields exploration, regional gas supply