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RUSSIA'S GAZPROM TO GAIN CONTROL OVER ARMENIAN GAS NETWORK
Agence France Presse -- English
April 6, 2006 Thursday 9:21 PM GMT
Gazprom and Armenia said Thursday they had signed an agreement keeping
natural gas prices low but that will eventually give the Russian gas
giant control over the country's distribution company, including a
future pipeline to Iran.
"Gazprom and the Armenian government have signed a 25-year agreement
that sets the principles for cooperation in energy projects in
Armenia," said a Gazprom statement.
Speaking in Yerevan, Armenian energy minister Armen Movsessian said
the country would receive under the agreement 248.8 million euros
from Gazprom, which would allow the government to subisdize gas prices
for consumers for three years.
Gazprom also promised to maintain until the end of 2008 its current
price for Armenia of 110 dollars per 1,000 cubic meters, less than
half what the company has been trying to charge other countries.
Under the agreement Gazprom is to eventually gain a majority stake in
the ArmRosgazprom gas distribution company, including a 40-kilometer
(25-mile) stretch of pipeline to Iran that will give Armenia a second
supplier of gas.
Armenia is currently completely dependent upon Gazprom for its
natural gas.
Gazprom currently owns 45 percent of ArmRosgazprom, the Armenian
government 45 percent and the Russian gas company Itera 10 percent.
Agence France Presse -- English
April 6, 2006 Thursday 9:21 PM GMT
Gazprom and Armenia said Thursday they had signed an agreement keeping
natural gas prices low but that will eventually give the Russian gas
giant control over the country's distribution company, including a
future pipeline to Iran.
"Gazprom and the Armenian government have signed a 25-year agreement
that sets the principles for cooperation in energy projects in
Armenia," said a Gazprom statement.
Speaking in Yerevan, Armenian energy minister Armen Movsessian said
the country would receive under the agreement 248.8 million euros
from Gazprom, which would allow the government to subisdize gas prices
for consumers for three years.
Gazprom also promised to maintain until the end of 2008 its current
price for Armenia of 110 dollars per 1,000 cubic meters, less than
half what the company has been trying to charge other countries.
Under the agreement Gazprom is to eventually gain a majority stake in
the ArmRosgazprom gas distribution company, including a 40-kilometer
(25-mile) stretch of pipeline to Iran that will give Armenia a second
supplier of gas.
Armenia is currently completely dependent upon Gazprom for its
natural gas.
Gazprom currently owns 45 percent of ArmRosgazprom, the Armenian
government 45 percent and the Russian gas company Itera 10 percent.