Major Agreement Signed At 21st World Petroleum Congress

At the 21st World Petroleum Congress Rosneft, Ministry of Industry and Trade of the Russian Federation, Gazprom, NOVATEK (NVTK.ME), Gazprombank, Sovkomflot, United Shipbuilding Corporation signed a Joint Venture Agreement in relation to the implementation of vessel, drilling rig and marine equipment construction and design projects on the 16th of June.

The document was signed in the presence of Vice-Premier Arkady Dvorkovich. It was signed by Rosneft CEO and Management Board Chairman Igor Sechin, Minister of Industry and Trade of the Russian Federation Denis Manturov, Gazprom Deputy Management Board Chairman Vitaly Markelov, NOVATEK Management Board Chairman Leonid Mikhelson, Gazprombank Management Board Chairman Andrey Akimov, Sovkomflot CEO and Management Board Chairman Sergey Frank, USC CEO and Management Board Chairman Aleksey Rakhmanov.

The parties, developing the proposal of the Russian President Vladimir Putin and taking guidance in the requirements of the applicable laws, agreed to engage FESC (FAR EASTERN SHIPBUILDING AND SHIP REPAIR CENTER) as the common order placement center for the purposes of contractor selection and awarding of all marine equipment design and construction contracts with Russian and international contractors. The Parties will put together a work group, to be coordinated by the Ministry of Industry and Trade.

Arkady Dvorkovich commented at the signing ceremony: "The companies agreed on their intention to become partners in the Far Eastern Shipbuilding Center (FESC) and will hopefully soon agree on the entry terms and conditions, probably in a matter of several weeks. The government, on its part, is fully supportive of these efforts."

Igor Sechin, in his turn, said as follows: "We would like to thank the Russian President, the Government and the Ministry for their support. This specialized shipbuilding cluster in the Far East is intended to obtain competencies and localize operations inside Russia, in connection with a major order for the equipment needed to develop offshore fields."

Leonid Mikhelson also highlighted: "Such facilities are very important for the Arctic development. Participation in this project is much needed for Russia, for all entities to become involved in the Arctic. We are very much interested and will do our best to develop this project as quickly as possible."