Issue of Debt

20 Oct 2006 18:04

Oao Gazprom20 October 2006 NOT FOR DISTRIBUTION IN THE US, CANADA OR JAPAN OAO GAZPROM PLACES EUR780 MILLION OF EUROBONDS Today OAO Gazprom placed EUR780 million of loan participation notes, dueFebruary 2014. The notes were issued by Gaz Capital S.A., a Luxembourg specialpurpose vehicle, under Gazprom's EMTN Programme. The loan participation notes were priced at par with an annual coupon of 5.03%. Citigroup Global Markets Limited, Dresdner Bank AG London Branch, GoldmanSachs International and Morgan Stanley & Co. International Limited acted as joint lead managers and bookrunners. The proceeds of the offering will be used to finance a loan to OAO Gazprom,the proceeds of which will be used for general corporate purposes including, inparticular, retirement of short-term indebtedness. OAO GAZPROM DIVISION FOR WORKING WITH MASS MEDIA These materials are not an offer for sale of any securities of OAO Gazprom inthe United States. Any securities of OAO Gazprom may not be offered or sold inthe United States absent registration or an exemption from registration underthe U.S. Securities Act of 1933, as amended. OAO Gazprom does not intend toregister any portion of the offering in the United States or to conduct a publicoffering of any securities in the United States. This communication is only being distributed to and directed only at (a) personswho are outside the United Kingdom or (b) investment professionals fallingwithin Article 19(5) of the Financial Services and Markets Act 2000 (FinancialPromotion) Order 2005 (the "Order") or (c) high net worth entitles, and otherpersons to whom it may lawfully be communicated, falling within Article 49(2) ofthe Order (all such persons mentioned in (a), (b) and (c) together beingreferred to as "relevant persons"). Any securities mentioned in thiscommunication will only be available to, and any invitation, offer or agreementto subscribe, purchase or otherwise acquire such securities will be engaged inonly with, relevant persons. Any person who is not a relevant person should notact or rely on this document or any of its contents. This document is not a prospectus and, to the extent that it may constitute anadvertisement, it does not constitute an offer to sell or the solicitation of anoffer to purchase notes or other securities of Gaz Capital S.A. or OAO Gazprom.Investors should not subscribe for any notes referred to in this document excepton the basis of the information contained in the base prospectus and final termsrelating to the notes. The prospectus and final terms are expected to bepublished on 24 October 2006 and investors will be able to obtain a copy of themfrom Deutsche Bank AG, London Branch, 1 Great Winchester Street, London EC2N2DB, United Kingdom, Deutsche Bank Luxembourg S.A., 2 Boulevard Konrad Adenauer,L-1115, Luxembourg and Deutsche International Corporate Services (Ireland)Limited, 5 Harbourmaster Place, IFSC, Dublin, Republic of Ireland, as PayingAgents and from Gaz Capital S.A. at 2 Boulevard Konrad Adenauer, L-1115,Luxembourg. This press release is not a public offer or advertisement of securities in theRussian Federation, and is not an offer, or an invitation to make offers, topurchase any securities in the Russian Federation. This information is provided by RNS The company news service from the London Stock Exchange