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Gazprom and Germany’s BASF form JV

Gazprom and German chemicals giant BASF AG have formed a joint venture Gazprom NSGP Trading, the press office of the Russian energy holding reported today.

According to the agreement on asset swap, Gazprom owns 100% of the new company’s common shares, while BASF AG owns one preferred share. The joint venture was formed as part of an asset swap deal between Gazprom and BASF. The new company will purchase natural gas at Severneftegazprom, the license holder for the Yuzhno-Russkoye gas field in western Siberia, and sell it proportionally to BASF’s share in the development of the gas deposit.

BASF, the world’s largest chemical maker, last month took 25% minus one share of the common stock in license-holder OAO Severneftegazprom, reported Bloomberg. (tradingmarkets.com)