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April 06, 2006

Russia's Gazprom Signs 25-Year Deal With Armenia

(RFE/RL)

April 6, 2006 (RFE/RL) -- Russia's natural gas monopoly Gazprom says it has signed a 25-year strategic cooperation agreement with Armenia.


A Gazprom statement (http://www.gazprom.ru) says the deal envisages that its ArmRosgazprom joint venture will acquire part of the Razdan electrothermal power plant and an unspecified number of Armenian gas facilities by January 1, 2007.


Gazprom also says it will charge Armenia $110 per 1,000 cubic meters of natural gas until January 1, 2009.


The statement makes no mention of media reports that say the Armenian government also agreed to give Gazprom ownership rights over a section of a gas pipeline to neighboring Iran currently under construction. Those reports say Yerevan also committed itself to grant ArmRosgazprom a license to build another section of the pipeline.


Landlocked Armenia depends exclusively on Russia for its energy supplies.


(With RIA Novosti and AP)


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