Joint Venture with Beltrasngaz to Emerge before June 1, 2007 :: Charter'97 :: News

Gazprom can become an owner of the half of Beltransgaz by summer 2010, told first Prime Minister of Belarusian Government Vladimir Semashko on January 2 at a press-conference in Minsk, explaining to journalists the mechanism of joint venture creation together with Gazprom. As said by him, “we have signed two documents in Moscow, a contract for deliveries and transit of gas until January 1, 2011, and a framework protocol on establishing a joint venture and terms of cooperation”. According to the procedure outlined in the protocol, the joint venture is to be created until June 1, 2007.

“We were ready to create the joint venture on December 31 last year, as earlier we were holding different views earlier. But thank heaven, common sense prevailed. ABN Amro has carried out its work competently, showing exactness of our position that Beltransgaz cost was at least 5 billion dollars,” V. Semashko noted.

He told that all basic documents needed for creation of a joint venture have been prepared: a draft agreement on creation of a joint venture, a statute, a buy and sell agreement and other documents have been worked at. “They have been agreed upon with all relevant ministries and agencies,” first vice prime Minister said.

He noted that “as there is no red tape in Belarus, the terms’ issue is to depend on the Russian side”.

As for the scheme of purchase of 50% of Beltransgaz shares by Gazprom, as said by V.Semashko, 2.5 billion dollars are to be paid in equal parts for three years. “For Gazprom to have 12.5% of shares since June 1, 2007 it is to pay 625 million dollars to Belarusian budget before May 20. After that it is to own 12.5% of Beltransgaz. Then by June 1, 2008, it is to own 25% of the company in case it would pay 625 million, and so on,” he explained.

Thus, in case Gazprom would pay 2.5 billion dollars by June 1, 2010, it would own 50% of Beltransgaz shares.