Gazprom Extends Slovakia Gas Contract

Gazprom has extended its gas supply contract with Slovakia for 20 years, Gazprom Export said Friday. Under the agreement, Gazprom, the world's biggest gas producer and supplier of a quarter of Europe's gas needs, will sell Slovakian gas monopoly SPP about 130 billion cubic meters of Russian gas from Jan. 1, 2009 to 2028.

Eustream, the SPP subsidiary responsible for the transit of Russian gas via Slovakia, will secure the transmission of about 1 trillion cubic meters of gas.

"The conclusion of a new transit agreement for the next 20 years will further increase the European Union's energy security," Gazprom deputy chairman and general director of Gazprom Export, Alexander Medvedev, said in a statement.

Gazprom supplies 23 European countries with gas. Europe's dependence on Russian gas has aroused concern among European policymakers, who believe that the bloc needs to diversify its energy supplies away from Russia.