Now is time to buy Gazprom stock - Miller
MOSCOW. June 28 (Interfax) - Gazprom CEO Alexei Miller has called on company stockholders to buy shares while the price remains low.
Responding to stockholder questions during the company's AGM, Miller said the results of the company's operation, its production and financial figures, in no way impact on the level of its capitalization, inasmuch as general market slippage is evident.
Miller said that DeGolyer & MacNaughton, the auditor of Gazprom's resources, has reckoned the market value of those reserves at $280 billion.
Deputy Gazprom chief Andrei Kruglov, who was also taking questions about low capitalization, said that the dynamics of Gazprom stock, aside from the overall slump of the Russian stock market, said other influences were a growing tax burden, a drop in export-market dynamics, and slowing domestic gas price growth.
Gazprom's capitalization is inadequate and out of line with the projects the company is carrying out, Kruglov said.
Miller assured the stockholders that Gazprom management would be doing "all that depends on us, so that company capitalization corresponds to the fundamental indicators that it has." "On the other hand, it's known that they buy stock on the decline and sell on growth. So it's the best time to buy stock," he said.
