Yakutskhosted today a working meeting between Alexey Miller, Chairman of the Gazprom Management Committee and Yegor Borisov, President of the Republic of Sakha (Yakutia).

The parties discussed the progress with the Agreement of Cooperation and prospects for future partnership in light of the final investment decision on the Chayandinskoye field adopted by Gazprom as well as construction of gas transmission and processing facilities.

The meeting noted that Gazprom had significantly increased the investments channeled to the Republic's economy: between 2007 and 2011 the Company allocated RUB 5.1 billion for creating the Yakutia gas production center, and RUB 4.2 billion – during ten months of the current year only.

Expansion of Gazprom's business in Yakutia is a strong driver for socioeconomic development of the region. In particular, construction of gas transmission facilities in the region will provide for its further gasification. The first section of the powerful and unified gas transmission system designated for the Yakutia and Irkutsk gas production centers, namely the Yakutia – Khabarovsk – Vladivostok gas pipeline, will run via southern regions of Yakutia. The gas pipeline route has been chosen so as to convey gas to the maximum possible number of settlements.

In addition, the Yakutia gas production center will create new jobs for the locals. Some 3,000 experts will have to be employed to operate the gas pipeline and to work at the Gazprom production facilities in the Republic. At present, the Company provides the training for experts, also from Yakutia, at Russian professional educational centers and encourages development of education programs.

The parties emphasized that it was necessary to intensify efforts aimed at creating favorable conditions for the gas sector development in Yakutia. The meeting noted that Gazprom and the Government of the Republic would speed up preparation of the state support projects, including elaboration of the regional legislative acts on tax benefits.

Alongside with expanding the presence in the Yakutia economy, Gazprom pays particular attention to development of the social sector. As part of the Gazprom for Children program, a versatile complex for children is being built in Yakutsk. Construction of an art and culture center in Yakutsk may become another example of joint efforts with the Republic.

Background

The Agreement of Cooperation between Gazprom and the Republic of Sakha (Yakutia) was signed in July 2007 and the Gasification Accord – in June 2008. In December 2010 the parties entered into the Partnership Agreement for socioeconomic development driven by the Eastern Gas Program.