Gazprom raises gas production

Gazprom produced 380 bn cm of gas in the first nine months of 2002, 9 bn cm more than in the same period of 2001. The Russian gas giant said that production figures were unveiled at a meeting of the board of executives on October 24.
Gazprom achieved the growth in production by achieving full capacity at the first phase of the Zapolyarnoye gas field. The company said it had met all government targets to fill underground storage facilities with gas. Facilities in Russia contain more than 63 bn cm of gas. They are also located in Ukraine, Latvia and Germany.

The executives approved the main provisions of a program to bolster geological gas reserves in the period to 2030. According to Russia's Energy Strategy to 2020, Gazprom should be sustaining annual production of 530 bn cm. Gazprom has also drafted a program in conjunction with the Russian Energy Ministry and Yamal-Nenets Autonomous District to develop gas fields on the Yamal Peninsula.
The board decided to limit the use of bank promissory notes in payments for gas in favour of the company's own notes, which are already in circulation. Andrei Kruglov, a Gazprom executive, said the decision "fully complies with the company's new strategy of phasing out non-cash instruments in settlements with suppliers and contractors, and is a key element of the company's debt management system."