Gazprom needs higher tariffs, tax breaks, not recapitalization for Power of Siberia - CFO
MOSCOW. June 26 (Interfax) - Gazprom does not need recapitalization but tariff growth and tax breaks to build the Power of Siberia pipeline, the gas giant's CFO, Andrei Kruglov, told reporters.
"We see on our part that level of support on the form of changes to pricing in the domestic market, higher price dynamics and tax concessions," he said.
"As regards recapitalization for the construction of Power of Siberia, our chief executive, Alexei Miller, has already made a statement. We think there's no need for this at present," Kruglov said.
The expenditures on Power of Siberia will be considered during a review of the investment program for H1: "We will certainly adjust our investment program according to the signed agreement. This will be expenses for design and survey work, the re-deployment of equipment and technology. During the adjustment of the program, this will be taken into account, but certainly this work will be high priority," Kruglov said.
The gas processing and helium refineries for the project will be built according to project financing principles.
Speaking about Gazprom's foreign loans, Kruglov said: "We might not be borrowing on the public debt market before the end of the year."
