"Welding the Partnership": South Stream Gas Pipeline Moves Ahead / Russian President Vladimir Putin marks the start of the South Stream Project at celebrations in Anapa

Anapa, Russia (ots) - Russian President Vladimir Putin marked the
start of the South Stream Project today, through a symbolic welding
ceremony during celebrations near Anapa, on the Russian coast of the
Black Sea.

The event, named "South Stream - Welding the Partnership",
celebrates the Russian-European cooperation that forms the foundation
of the Project and marks the start of its implementation. In the past
months, the most significant arrangements for both the offshore and
onshore sections were concluded, such as the Final Investment
Decision (FID) taken in November 2012 and the set-up of joint
ventures for each section of the Project.

Russian President Vladimir Putin said that the occasion marked a
truly important event for both Russia and Europe and he thanked and
congratulated the partners involved in the South Stream Project. He
noted that the pipeline will be built in accordance with strict
environmental standards.

Attendees also included Russian Minister of Energy Alexander
Novak, Turkish Minister of Energy and Natural Resources Taner Yildiz,
Bulgarian Minister of Regional Development and Public Works Lilyana
Pavlova Nikolova, Hungarian Minister of National Development Zsuzsa
Németh, Serbian Minister of Energy, Development and Environmental
Protection Zorana Mihajlovic, Slovenian Minister of Infrastructure
and Spatial Planning Zvonko Cernac and Macedonian Deputy Prime
Minister and Minister of Finance Zoran Stavreski. Other high-level
officials and ambassadors from the countries involved in the South
Stream Project were also present.

First Gas in 2015

The CEO of South Stream Transport B.V. Marcel Kramer underlined
the merit of the cooperation: "Last month, our Shareholders agreed to
take the Final Investment Decision for the South Stream Offshore
Pipeline, confirming our objective to transport the first gas by late
2015. During times of economic uncertainty, this is a significant
investment in reliable supplies of clean energy and in the European
economy. To bring new energy into Europe in every sense of the word."

Alexey Miller, Chairman of the Gazprom Management Committee said:
"The start-up of South Stream construction - is indeed a historical
event. The project embodies the intention of Russia and the countries
of Southern and Central Europe to strengthen the partnership in the
energy sector and to create a new reliable system of Russian gas
supplies to European consumers. South Stream is a comprehensive
infrastructure project that will provide a powerful impetus to
economies of participating countries."

The South Stream Pipeline Project consists of several sections,
spanning over 2,300 kilometers in total. It will transport natural
gas directly from Russia to countries in Central and South-Eastern
Europe. The 925-kilometre offshore section will start on the Russian
Black Sea shore in the area of Anapa, cross the Turkish Exclusive
Economic Zone in the Black Sea and land on the Bulgarian coast near
Varna.

Contact:

Sebastian Sass, Head of Communications & Spokesperson, South Stream
Transport
E-mail: media@south-stream-transport.com
Phone: +41 (41) 769 23 66

For further information, please visit: www.south-stream-offshore.com.