Severneftgazprom Hits Milestone at Yuzhno-Russkoye Field

Severneftegazprom, a subsidiary of Gazprom Group, has celebrated a milestone with the production of its 100 billionth cubic metre of gas at the Yuzhno-Russkoye oil and gas field yesterday.

The massive Russian field, which has estimated ABC1 and C2 reserves of one trillion cubic metres, first went into commercial production in October 2007. Since then, beginning in 2009, it has expanded to fulfill its design capacity of 25 billion cubic metres a year.

General director of Severneftegazprom, Stanislav Tsygankov, said the company expects the field to continue to reach milestones quickly.

"We will not stop at what has been accomplished: 100 billion is just the beginning," he said. "I am sure that with our professional team, modern technologies and efficient management we will shortly achieve further success."

The company expects the production from the field to continue to perform well, with 26 billion cubic metres of gas expected to be produced in 2012.

Gazprom is the majority shareholder in Severneftgazprom with a 50 per cent share plus 6 ordinary registered shares. BASF SE and E.ON each hold a 25 per cent less three ordinary registered shares plus three preference non-voting shares.