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GAZPROM'S ARMENIAN UNIT STARTS IPO PREPARATIONS
Reuters
May 19 2008
UK
MOSCOW, May 19 (Reuters) - Russia's gas export monopoly Gazprom
(GAZP.MM: Quote, Profile, Research) said on Monday its Armenian
venture, ArmRosGazprom, was starting preparations for an initial
public offering (IPO) of its shares.
The venture, 68 percent owned by Gazprom, buys natural gas from Gazprom
on a long-term contract at a highly favourable price and distributes
it within Armenia.
Other shareholders in ArmRosGazprom include Armenia's Energy Ministry
and Russian private gas producer Itera.
"Cooperation in gas sphere is developing very successfully, and
joint venture ArmRosGazprom is expanding and starting preparations
for entering financial markets with an initial public offering of
its shares," Gazprom said in a statement.
The statement, which did not give a timeframe for the planned IPO,
was issued after the meeting between Gazprom's head Alexei Miller,
Armenia's President Serzh Sarksyan and Prime Minister Tigran Sarksyan.
Tigran Sarksyan told Reuters in an interview last year ArmRosGazprom
was planning a $1 billion IPO in late 2007 or early 2008. Neither he
nor Gazprom said whose shares would be offered in the IPO.
Gazprom also said it had discussed gas prices with Armenian leaders
and agreed to bring the price for Armenia to the European level by
2011, like for other former-Soviet customers.
But the Russian gas giant, which supplies Europe with a quarter of
its gas needs, said it would make the transition smooth "given the
high level of strategic cooperation" between the two countries.
Gazprom, which charges its European customers an average of $350 per
1,000 cubic metres, sells its gas to Armenia at $110 per 1,000 cubic
metres under the agreement valid until 2009. (Reporting by Tanya
Mosolova; editing by Sue Thomas)
Reuters
May 19 2008
UK
MOSCOW, May 19 (Reuters) - Russia's gas export monopoly Gazprom
(GAZP.MM: Quote, Profile, Research) said on Monday its Armenian
venture, ArmRosGazprom, was starting preparations for an initial
public offering (IPO) of its shares.
The venture, 68 percent owned by Gazprom, buys natural gas from Gazprom
on a long-term contract at a highly favourable price and distributes
it within Armenia.
Other shareholders in ArmRosGazprom include Armenia's Energy Ministry
and Russian private gas producer Itera.
"Cooperation in gas sphere is developing very successfully, and
joint venture ArmRosGazprom is expanding and starting preparations
for entering financial markets with an initial public offering of
its shares," Gazprom said in a statement.
The statement, which did not give a timeframe for the planned IPO,
was issued after the meeting between Gazprom's head Alexei Miller,
Armenia's President Serzh Sarksyan and Prime Minister Tigran Sarksyan.
Tigran Sarksyan told Reuters in an interview last year ArmRosGazprom
was planning a $1 billion IPO in late 2007 or early 2008. Neither he
nor Gazprom said whose shares would be offered in the IPO.
Gazprom also said it had discussed gas prices with Armenian leaders
and agreed to bring the price for Armenia to the European level by
2011, like for other former-Soviet customers.
But the Russian gas giant, which supplies Europe with a quarter of
its gas needs, said it would make the transition smooth "given the
high level of strategic cooperation" between the two countries.
Gazprom, which charges its European customers an average of $350 per
1,000 cubic metres, sells its gas to Armenia at $110 per 1,000 cubic
metres under the agreement valid until 2009. (Reporting by Tanya
Mosolova; editing by Sue Thomas)