Armenia and Gazprom OJSC negotiate on sale of Armenian Government's 20% of ArmRusgasprom's shares to Gazprom

Armenia and Gazprom OJSC are negotiating on the sale of Armenian Government's 20% of ArmRusgasprom's shares to Gazprom, Armenian Minister of Energy and Natural Resources Armen Movsisyan said in Parliament on June 19. 

"The issue of the sale of the 20% is on the negotiation table. No deal has been made yet", the minister said when replying to opposition MP Aram Manukyan's question. Movsisyan said the talks also cover possible achievement of mutual arrangements on a number of other important issues for the republic. Earlier the Armenian mass media reported that the Armenian authorities were ready to sell the 20% of Government's shares in ArmRusgasprom's capital to curb the gas price. On 1 April 2013 Gazprom raised the gas price for Armenia from 180 USD to 270 USD per 1 thsd cu m. The Armenian Government is trying to attract a grant from Russia to compensate for the gas price by 30%.

To note, the sole gas supplier to Armenia is ArmRusgasprom CJSC, whose 80% of shares belong to Gazprom OJSC and the other 20% - to the Government of Armenia. In 2012 natural gas deliveries from Russia to Armenia increased by 22.3% to 1967.2 mln against 1609.1 mln cu m in 2011, the press service of ArmRusgasprom says. As of late 2011 the company's authorized capital amounted to 312.072 bln AMD, net loss grew by 43% to 15.425 bln AMD. The report for 2012 has not been published yet.