Beltransgaz Sale Said to Be Finalized in November
The documents necessary for selling the remaining 50% stake in Beltransgaz to Gazprom have been prepared, the chief of the Belarusian State Property Committee, Heorhy Kuznyatsou, said today.
Beltransgaz transports about 20 percent of Russia’s Europe-bound gas exports.
“The share in Beltransgaz may be sold in November,” Kuznyatsou said.
According to Kuznyatsou, the Belarusian delegation is in final stage of negotiations with Gazprom in Moscow.
“All issues on the purchase and sale agreement have been solved. We only have some questions left regarding the intergovernmental agreement,” Kuznyatsou said.
As sources close to negotiations note, Gazprom will pay for Beltransgaz’s share in three tranches. The closing date has not been announced.
The sale will also be linked to terms of new gas supply and transit contracts. Current gas agreements expire at the end of this year.
Russia plans to introduce a discount for natural gas supplies to Belarus starting January 1st, contingent on Gazprom gaining control of Beltransgaz, Prime Minister said on August 15th.
The gas pricing formula is a major concern for Belarus, which currently buys Russian gas for $286 per 1,000 cubic meters.
Beltransgaz operates 7,500 kilometers (4,660 miles) of gas pipelines, five compressor plants, three underground gas storage facilities, 233 gas distribution plants, 26 refueling compressor stations and six gas measuring stations. The company also operates the Gazprom-owned Belarusian section of the Yamal-Europe pipeline.
In 2010, the two counties had a dispute over the Minsk's failure to pay a $192 million gas bill to the Russian gas-export monopoly. Russia threatened to cut supply delivers by as much as 85 percent, an action that could have theoretically impact natural gas deliveries to Western Europe.