Background

In June 2018, the Gazprom Board of Directors approved the Company's power generation strategy for 2018–2027. The document provides for, among other things, the diversification of Gazprom's power business by entering promising foreign markets.

At present, the Gazprom Energoholding Group, together with NIS a.d. Novi Sad (Gazprom Neft Group), is implementing a project for the construction of a combined cycle thermal power plant (TPP) with a power capacity of some 200 MW near a refinery in Pancevo.

On March 7, 2019, Denis Fyodorov and Aleksandar Antic signed the Memorandum of Understanding on the implementation of combined heat and power generation projects in Serbia. The signing took place at the event celebrating the launch of construction of the Pancevo TPP. In line with the document, the parties arranged for joint efforts aimed at reviewing further options for building and upgrading power plants in Serbia.

Gazprom Energoholding, a wholly-owned subsidiary of Gazprom, is a special-purpose company that manages the companies of the Gazprom Group in the power generation sector. Its main production assets are Mosenergo, TGC-1, OGK-2, and MOEK.