Press Releases and Events
NOVATEK announces new shareholder
Moscow, 26 June 2006. OAO NOVATEK today announced that its main shareholders, OOO LEVIT and SWGI Growth Fund (Cyprus) Limited have signed a preliminary agreement to sell an equity interest in NOVATEK in a size not more than 20% of the Company’s outstanding shares to ОАО Gazprom represented by ZGG GmbH at market value. The transaction is expected to be completed in August 2006.
Within this time period the Parties are to enter into a share sale and purchase agreement and a shareholders agreement whereby the new shareholder representing Gazprom will be granted two seats out of eight on the Board of Directors, which in accordance with the Company’s existing Charter provides the new shareholder representing Gazprom with sufficient rights to participate in managing the Company’s activity. The shareholders agreement will stipulate that an equity stake owned by Gazprom and its affiliated entities should not exceed at any time 19.9% of the Company’s outstanding shares.
The Parties to the preliminary agreement contemplate further expansion of NOVATEK’s activities in developing its existing fields and growing its hydrocarbon resource base, coordination of marketing natural gas to the domestic market and an opportunity for NOVATEK to be involved in regional gasification programs.
NOVATEK believes the addition of Gazprom represented by ZGG GmbH as a strategic investor will enhance the Company’s ability to develop its hydrocarbon resource base, increase its production targets and realize its strategic objective of maximizing liquids processing.
PAO NOVATEK is the largest independent natural gas producer in Russia, and in 2017, entered the global LNG market by successfully launching the Yamal LNG project. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. Upstream activities of the Company’s subsidiaries and joint ventures are concentrated mainly in the prolific Yamal-Nenets Autonomous Region, which is the world’s largest natural gas producing area and accounts for approximately 80% of Russia’s natural gas production and approximately 15% of the world’s gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation.