The Germans to have to pay for the South-Russkoye field to Gazprom

A conflict among Gazprom and its key foreign partners Wintershall and E.On, which together develop the South-Russkoye field, may arise. The parties disagree about assessment of reserves increase and now Gazprom demands for additional payment in the amount of 1.35 billion euro from the Germans. According to the Kommersant’s information, an international auditor may be attracted for settlement of the dispute.

Gazprom intends to demand for 1.35 billion euro from Wintershall and E.On because of increase of the South-Russkoye oil and gas field’s reserves, the Bloomberg reported, referring to sources. The license for the field belongs to Severneftegazprom, in which Gazprom owns 50% plus 6 shares, and the German companies each - 25% minus 3 shares. In July, the Severneftegazprom’s General Director Stanislav Tsygankov said to the Reuters that, according to the agreement among the joint venture’s shareholders, in case of the field’s reserves growth Gazprom would receive additional payment. According to him, the reserves grew and the revaluation was planned to be conducted in October.