Russia's natural gas giant Gazprom announced on Wednesday it will hold an auction on Dec. 30 to sell off its stake in Latvian natural gas transmission and storage operator Conexus Baltic Grid (Conexus), local media reported.
The starting price of Gazprom's 34.1 percent stake in Conexus has been set at 79 million euros and the minimum price at 70 million euros. December 26 is the deadline for bids in the auction.
The Russian gas company has to dispose of its stake in Conexus because the Latvian regulator has certified the gas transmission and storage operator on two conditions that have to be met by the end of 2019.
Under these conditions, Gazprom must relinquish any control over Conexus and its underground gas storage facility, which is situated near Riga, the capital, by Jan. 1, 2020.
The Russian company, as well as the Luxembourg-based investor Marguerite Fund, have to be disassociated from Conexus because they are also shareholders of Latvian gas utility Latvijas Gaze, and under European Union regulations, gas trade has to be separated from gas transmission and storage operations.
Editor:Cherie
