Gazprom-AR2014

Performance Results
79
In 2014, Gazprom Group signed the Basic Terms and Conditions of Liquefied Natural Gas
Supply from the Yamal LNG Project, providing for the purchase of up to 2.9 mm tonnes (4 bcm)
of LNG per year at a European transloading hub for Gazprom’s portfolio during 20 years of plateau
production. A binding agreement was signed in January 2015.
During 2014, the Company also signed an agreement with Pacific Rubiales to purchase for
the Group’s portfolio 0.5 mm tonnes of LNG (0.7 bcm) per year from the world’s first floating LNG
plant in Colombia from 2016 through 2020. In addition, the Group was the winning bidder in
Iberdrola S.A.’s tender, procuring 0.4 mm tonnes (0.5 bcm) of LNG per year for its portfolio in 2015
and 2016.
To perform LNG transportation by sea, the Group freighted a fleet of 6 gas tankers under
medium-term and long-term contracts. In 2014, the Group’s gas fleet was augmented with two
new modern high-tech vessels, Velikiy Novgorod and Pskov. Last year, Gazprom also successfully
transferred LNG between vessels in the high seas, the first operation of this kind in the Group’s
history.
Russian gas market
In 2014, Gazprom Group’s natural gas sales to Russian consumers amounted to 217.2 bcm, with
gas sales revenue totalling RUB 798.1bn. In 2014 and 2013, Gazprom Group’s sales in Russia
represented 51% and 49% of the total gas sales for the indicated periods, respectively, and approximately
27% of the gas sales revenue.
Gazprom Group’s gas sales in Russia, 2012–2014
Sales,
bcm
Average selling price,
RUB per mcm
Sales revenue,
RUB bn
2012 249.7 2,964.2 740.3
2013 228.1 3,393.9 774.0
2014 217.2 3,673.8 798.1
i
Detailed information is presented in
the “Trends and Developments on Oil
and Gas Markets” section
OAO Gazprom sold 0.4 bcm of gas on the Saint-Petersburg International Mercantile Exchange,
opened in October 2014.
Russia’s total natural gas consumption in 2014 was 458.4 bcm, down 1% y-o-y. The indicator
was most strongly affected by climate and weather factors.
The Russian power industry and households are the major consumers of natural gas in the
country. In 2014, Gazprom Group’s natural gas supplies to generators accounted for approximately
24% of its total domestic natural gas supplies (excluding intercompany sales), with households
accounting for 23%. Natural gas is also heavily used in metallurgical, agro-chemical, construction
and other sectors, as well as in housing and utilities.
Gazprom’s domestic natural gas sales in 2014 by consumer group
1 2 3 4 5 6 7
1 Power and Heat Generation 24%
2 Metallurgy 4%
3 Agro-chemistry 8%
4 Cement industry 3%
5 Households 23%
6 Housing and utilities 15%
7 Other 23%
OAO Gazprom Annual Report 2014