Support The Moscow Times!

TNK-BP Unit to Sell $31Bln Worth of Gas to TGK-9, TGK-7

Power producers TGK-9 and TGK-7 signed contracts worth $31 billion to buy natural gas from SL Trading, a TNK-BP subsidiary, the power companies said, Interfax reported.

TGK-9 and TGK-7 are controlled by Integrated Energy Systems. The power producers' shareholders will consider the deals at extraordinary general meetings in December.

A draft contract between SL Trading and TGK-9 envisaged supplies of up to 2 billion cubic meters of gas in 2013, up to 2.2 bcm in 2014, up to 2.5 bcm in 2015, up to 3.5 bcm in 2016 and up to 3.54 bcm annually in 2017 and beyond.

In the first half of 2012, TGK-9 bought 36 percent of gas from Itera, 20 percent from Gazprom and 20 percent from Integrated Energy Systems.

A draft contract between TGK-7 and SL Trading called for supplies of up to 40 million cubic meters of gas in 2015, up to 1.6 bcm in 2016, up to 1.5 bcm in 2017, up to 1.5 bcm in 2018, up to 1.3 bcm in 2019, and up to 1.3 bcm per year in 2020 and thereafter.

Gazprom supplied more than 70 percent of TGK-7's gas in the first half of 2012.

TGK-9 has power plants in the Sverdlovsk region, the Perm region and the Komi republic with a combined capacity of 3.3 gigawatts.

TGK-7 operates 21 power plants in the Samara, Saratov, Ulyanovsk and Orenburg regions, and the combined capacity of those plants is 6,880 megawatts.

Read more

The need for honest and objective information on Russia is more relevant now than ever before!

To keep our newsroom in Moscow running, we need your support.