Gazprom’s Board of Directors approves list of measures aimed at increasing Company’s global market share
The Gazprom Board of Directors approved an updated list of measures aimed at increasing the Company's share in the global gas market. It was noted that amidst the industry-wide changes the updating of this document had an important role to play for the successful business development of Gazprom as a global energy company, the company said in its press release.
The updated list suggests more precise definition of the Company's business areas, particularly in pipeline and liquefied natural gas supply as well as in creating and developing new gas market segments.
In order to increase the competitiveness of Russian gas and to maintain the Company's steady position in the key European market, Gazprom improves contractual cooperation in pipeline gas supply. In particular, the Company introduces new forms of trade – the first auction for gas deliveries was a success.
A key element in the Gazprom's geographic presence expansion is the reinforcement of the Company's position in the Asian market. An increase in pipeline gas supply to the Chinese market is of strategic importance.
The growth in LNG supply plays a crucial role in gaining a bigger market share. It is therefore essential to ensure and improve the Gazprom's global LNG portfolio flexibility primarily through the Company's own production. The large-scale LNG production is complemented by the expanding geographic presence and the increasing small-scale LNG production.
The Company plans to strengthen its presence abroad, including through developing gas supply to end consumers, as well as through increasing the production and sale of highly processed products. Moreover, promising areas include an increase in gas supply to the power sector and a further expansion of the market for natural gas as a vehicle fuel.
It was noted that as part of the above-mentioned measures Gazprom would optimize the costs of projects and was ready therefore to consider various project participation options, including joint ventures and asset swaps.
Alexey Miller highlighted during the Board of Directors' meeting: “In 2015 the Gazprom's supply share in the European consumption reached a historic high of 31 per cent.”
