Press release: Gazprom approves programs to spur domestic NGV market

The Gazprom Management Committee approved the 2017–2019 Program for the construction of gas filling infrastructure at the industrial sites of Gazprom subsidiaries and the Development Program for small-scale liquefied natural gas (LNG) production and use.

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It was noted at the meeting that broader use of gas as a vehicle fuel was a priority for Gazprom in the domestic market. The Company develops the CNG filling network, coordinates the efforts of the domestic NGV market players, and systematically expands its gas-powered fleet. The current share of NGVs throughout Gazprom subsidiaries accounts for 26 per cent (about 7,200 vehicles) of the Group’s vehicle fleet. It is planned to increase that share up to 70 per cent by the end of 2020.

The approved Program for the construction of gas filling infrastructure outlines a set of measures for converting Gazprom’s vehicle fleet to natural gas and installing gas filling units at the industrial sites of the Group’s subsidiaries.

LNG production and marketing remains an important part of the Company’s efforts aimed at expanding the domestic NGV market. It was highlighted at the meeting that there was a vast potential for using LNG as a fuel in motor vehicles for long-distance passenger and cargo transportation, in water and rail transport, and in mining and agricultural industries.

The Development Program for small-scale LNG production and use includes a list of gas distribution stations (GDSs) and liquefaction technologies most suitable for LNG production. The document provides for the construction of new marketing infrastructure, namely fixed cryogenic filling facilities and mobile LNG filling stations.

The Program will help Gazprom create a large business sector, boost natural gas sales, and enhance the performance of the existing GDSs. At present, the Company is working on a number of pilot projects for using LNG in transport.