Russian gas monopoly OAO Gazprom and Luxembourg energy group Soteg SA said Friday they had agreed to build a €400 million ($538.4 million) power plant in Germany by 2010, marking Gazprom's further expansion in Europe and its first step into the region's electricity market.
OAO Gazprom, which supplies about a quarter of Europe's requirements, said in a statement that the combined-cycle power plant would be built in the German city of Eisenhuttenstadt and would comprise two turbines with a capacity of 400 megawatts each.
Under the agreement, Gazprom and Soteg SA will each own 50% in the company building the plant, which will have the right to sell a part of the electricity produced directly to industrial consumers under long-term contracts. The remainder will be sold by Gazprom's European marketing division and Soteg separately. (ibtimes.com)