Gazprom, Novatek to partner on pipeline, petrochem facilities

Russian gas monopoly OAO Gazprom and independent gas producer OAO Novatek, Moscow, announced a partnership in which they will jointly work on gas production facilities, gas pipelines, and petrochemical plants.

July 7, 2005

By OGJ editors
HOUSTON, July 7 -- Russian gas monopoly OAO Gazprom and independent gas producer OAO Novatek, Moscow, announced a partnership in which they will jointly work on gas production facilities, gas pipelines, and petrochemical plants.

The partnership calls for the two companies to establish an integrated, long-term strategy for the Russian gas industry. This will include jointly developing condensate transmission infrastructure.

Regarding petrochemicals, Gazprom and Novatek plan to construct plants to produce ethylene, polyethylene, propylene, and polypropylene.

Analysts said Gazprom had control of some of what are now Novatek's production assets during the 1990s.