Sources inform “Globes” that Alexey Miller, chairman of Russian natural gas giant Gazprom, is scheduled to visit Israel at the end of the month. He will hold business meetings with senior state officials in order to promote a multibillion-dollar natural gas deal.
Gazprom is the world’s largest natural gas company, and is probably also the world’s largest energy firm, with annual sales in the tens of billions of dollars.
The Russian government controls Gazprom, which is listed on the Moscow Central Stock Exchange. Sources said that Gazprom was negotiating business cooperation with large Israeli companies, and was considering opening an office in Israel.
Gazprom wants a share of natural gas sales in Israel, through its pipeline running from Russia to Turkey. The plan is to construct and undersea extension of the pipeline that will reach Israel.
Gazprom is reportedly also interested in taking part in the construction of the $400 million land-based gas pipeline in Israel. The company wishes to sell gas to Israel through its Turkish pipeline under a multi-year agreement likely to amount to billions of dollars.
Minister of National Infrastructures Joseph Paritzky recently ordered his staff to begin examining the economic viability of an undersea infrastructure corridor between Israel and Turkey. The corridor will transport crude oil, natural gas, refined oil products, and electricity.
The possibility of importing gas from Russia was mentioned many years ago, but the government did not adopt it. Sources involved in the current plan said, “Gazprom is planning a major effort, since it is aware that Israel urgently requires additional gas suppliers.”
Published by Globes [online] - www.globes.co.il - on May 17, 2004