OREANDA-NEWS. May 18, 2007. A Gazprom delegation chaired by Igor Federov, Member of the Gazprom Management Committee, Director General of the Gazkomplektimpex took part in International Conference “Russian Machinebuilding Products for Siberian Oil and Gas Complex” (Sibneftemash 2007).

In delivering his report, Igor Federov underscored that cooperation between Gazprom and Russian engineering enterprises is actively developing. The unchanged circumstance of said cooperation is a product output fulfilling Gazprom’s requirements and quality and price-based competition parameters. At present 95 per cent of equipment Gazprom purchases from Russian suppliers.

The reporter underscored that mutually beneficial cooperation of Gazprom and Russian enterprises has a lot of examples. Particularly, large diameter pipe production for gas mains and gas pumping units with capacity of 4 to 25 MW was organized and shut-off & control valves and well-control equipment production was set up corresponding to international standards.

Special attention Mr. Federov paid to the purchase order of material and technical resources and order placement at the production enterprises. The reporter specified that order placement is provided on the basis of competition procedure. At present the share of equipment and materials based on competition procedure is not less than 80 per cent.

The reporter reminded that according the Russian Federation Government Decision Gazprom was appointed as a coordinator of the Program on setting up an integrated gas production, transmission and supply system in Eastern Siberia and the Far East, taking into account potential gas exports to China and other Asia Pacific countries. Due to this fact Gazprom is interested in developing Siberia and the Far Eastern engineering enterprises producing modern oil and gas equipment, attracting innovation technologies and developing new types of products due to Gazprom’s import substitution program.

Therefore, Gazprom analyzed potential and opportunities of Siberian and the Far Eastern enterprises to develop and produce oil and gas products. The Company also examines an opportunity to set up production joint ventures, consortiums to cooperate and coordinate operating activity.