Friday, November 07, 2008
OMV and Gazprom to develop a central European gas hub
07.11.2008 - [Neftegaz.RU] - OMV said in a statement that Gazprom would take a 30-percent stake in its wholly-owned unit, Central European Gas. Two other partners - the Vienna Stock Exchange and Austrian gas group Centrex Europe Energy & Gas - would also take stakes of 20 percent apiece and help transform it into a "leading hub platform in continental Europe" and establish a central European gas exchange, Petroleum world.com reports. Financial details were not disclosed. The exchange would allow the trading of gas products on a spot and futures market. The deal first has to be approved by the regulatory authorities, including the EU Commission in Brussels, but OMV said it is expected to be completed next year. CEGH is currently a wholly-owned subsidiary of OMV Gas & Power GmbH and, according to OMV, is "one of the most important gas hubs in Europe" with trading volumes of 17.7 billion cubic metres last year. In January, Gazprom and OMV had signed an agreement to give the Russian giant a 50-percent stake in CEGH and expand it. There is already a spot and futures market for gas products at the European Energy Exchange in Leipzig, Germany.