Wolfgang Ruttenstorfer, CEO of OMV, Alexander Medvedev, deputy chairman of OAO "Gazprom" and Chairman of Gazprom export, recently signed a cooperation agreement to expand and further develop the Central Europe Gas Hub (trading hub) in Baumgarten, Austria.
Based on the Memorandum of Understanding the companies signed in May 2007, the agreement stipulates that Gazprom will take a 50% interest in the trading hub and the parties are to carry out joint storage projects in Austria and neighbouring countries.
"This agreement is a further milestone in the cooperation between OMV and Gazprom, dating back nearly 40 years. With this agreement we have again made an important step in securing Europe's security of supply in the long-term," said Wolfgang Ruttenstorfer, CEO of OMV.
"Together with Gazprom, OMV wants to increase the importance of the trading hub in Baumgarten. By 2010 this trading hub is aimed to become the leading trading Gas Hub in continental Europe," he added.
One third of all Russian gas exports to Western Europe are already transported via Baumgarten, with an average trading volume hitting approximately 1.5 billion m3 per month. By setting up an international marketplace, the Central European Gas Hub is to become continental Europe's most important trading platform.
"This step is in line with our strategy to increase the trading volumes at Baumgarten. The more liquidity at trading hubs in Europe the more competition takes place in the gas business and the more we are able to strengthen the security oil supply in the region," said Ruttenstorfer.
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