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Printer friendly version Posted 29/11/2007 Email this article to a friend

Gazprom May Switch Sales to Rubles as Dollar Weakens
Dan Lonkevich – Bloomberg November 29, 2007

OAO Gazprom, the world's largest natural-gas exporter, may start selling its crude and gas production in rubles rather than dollars and euros after the U.S. currency weakened.

``We are seriously thinking about selling our resources in rubles,'' Alexander Medvedev, Gazprom's deputy chief executive officer, told reporters today in New York. He didn't give a specific timeline for the decision.

The switch would happen ``sooner, rather than later,'' Gazprom Chief Financial Officer Andrei Kruglov told the same gathering of reporters. The dollar has dropped 11 percent against the euro this year, reducing the value of exports by oil-rich nations and contributing to a 49 percent jump in crude- oil prices.

Saudi Arabia, the world's largest oil supplier, fought off an attempt this month by Iran and Venezuela to get the Organization of Petroleum Exporting Countries to discuss pricing oil in different currencies rather than in dollars. Six Gulf Arab states will discuss a proposal next month to revalue their currencies against the U.S. currency, the secretary general of the Gulf Cooperation Council said last week.

To contact the reporters on this story: Dan Lonkevich in New York at dlonkevich@bloomberg.net

Source: www.bloomberg.com/apps/news?pid=20601087&sid=aM807WS6NTCE&refer=home

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Last updated 13/12/2007

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