Background

Gazprom aims to accelerate the implementation of new LNG projects so as to retain or boost the Company's share in the global gas market.

On January 11, 2011 Gazprom and the Agency for Natural Resources and Energy (ANRE) under the Japanese Ministry of Economy, Trade and Industry signed the Agreement of Cooperation envisaging the preparation of a joint feasibility study on the options for natural gas utilization near Vladivostok as well as for natural gas and gas chemicals transportation from the Vladivostok region and their sales to potential customers in Asia-Pacific. The Agreement also contains the details of the LNG plant construction near Vladivostok.

The consortium of Japanese companies – Japan Far East Gas Co., Ltd. (ITOCHU, JAPEX, MARUBENI, INPEX, CIECO) – was established with the assistance of the Japanese Agency for Natural Resources and Energy. The consortium members were selected by the Japanese feasibility study performers.

In 2011 Gazprom together with ANRE as well as Japan Far East Gas Company conducted a preliminary feasibility study on the LNG plant project near Vladivostok.

On June 24, 2012 the Russian Energy Ministry and the Japanese Ministry of Economy, Trade and Industry signed the Memorandum of Understanding confirming the intent of the countries' governments to provide the necessary assistance to the Vladivostok-LNG project.

On September 8, 2012 Gazprom and ANRE signed the Memorandum on the Vladivostok-LNG project. The document stipulates boosting the comprehensive cooperation in order to promote the project, including in the financing and gas marketing areas.

In March 2012 Gazprom adopted the decision to develop the Investment Rationale for the project. In February 2013 Gazprom took the final investment decision on the Vladivostok-LNG project. In March 2013 the Action Plan for constructing the LNG plant was approved together with the Plan for establishing the project's resource base.