Gazprom to privatize Kyrgyzgas before late July

Gazprom and Kyrgyzgas will sign a privatization deal in 10 days, RIA Novosti cites Kyrgyzgas Director General Turgunbek Kulmurzayev.

Gazprom will privatize the company, but will be obliged to invest at least 20 billion rubles to modernize its gas infrastructure in 5 years. Minister for Energy and Industry Osmonbek Artykbayev is the most likely signer of the document. The parliament will need to ratify the agreement.

The company owes 2.022 billions soms (about $40 million) of credits, 500 million soms of accounts receivable and has a deficit of 1.5 billion soms.

Russian Prime Minister Dmitry Medvedev signed an intergovernmental agreement last week to take control over Kyrgyzgas’ assets for $1.