OREANDA-NEWS. June 20, 2011.  The share in Beltransgaz could be sold to Gazprom in 2011, First Vice-Premier of Belarus Vladimir Semashko told reporters in St. Petersburg.

“The deal must be concluded this year ,” said Vladimir Semashko. He recalled that the contract on Russian gas supplies for 2012-2014 to be concluded this year should provide for the new conditions that arise from the inter-governmental agreements on the Single Economic Space signed in December last year. According to him, voluntarily or not, the sale of the Beltransgaz stake gets linked with the signing of this contract.

The First Deputy Prime Minister also said that the sale of the state package of Beltransgaz shares was discussed with the head of Gazprom Aleksei Miller on 17 June. During the negotiations the parties agreed what direction to move further.

Beltransgaz’s history dates back to 25 October 1960 when the Minsk administration of cross-country pipelines was set up to run the Dashava-Minsk gas pipeline. At present Belarus’ gas transportation system that Beltransgaz operates includes around 7,500km of gas pipelines, five compressor plants, three underground gas storage facilities, 233 gas distribution plants, 26 refueling compressor stations and six gas measuring stations. Beltransgaz delivers Russian natural gas to Belarusian customers and transits it to Kaliningrad Oblast of Russia, to Lithuania, Ukraine, and Poland. The company also operates the Gazprom-owned Belarusian section of the Yamal-Europe pipeline. The government of Belarus and Gazprom own 50% of Beltransgaz’s shares each.

The sale of Belaruskali has not been discussed with Uralkali, First Vice-Premier of Belarus Vladimir Semashko told reporters in St. Petersburg.

Vladimir Semashko dismissed the information about the talks with the Russian company as journalistic speculations.

Belaruskali is one of the world’s biggest manufacturers of potash fertilizers. The Belarusian company operates 16% of the world potash market. About 80% of the company’s output is exported to Europe, Eastern Asia, the Mediterranean region, South Africa, India, China, South and North America. Belaruskali was reincorporated as a joint stock company in 2010.

Uralkali is a Russian producer of potash fertilizers with the market share of about 9%. The company is located in the town of Berezniki (Perm Territory) close to Verkhnekamsk deposit of potassium and magnesium salt, the world’s second biggest in ore resources. The company’s assets include two mines and five dressing plants (four of them produce potash chloride and one – carnallite), and a sodium chloride factory. The company operates offices in Moscow, Perm and Minsk.