Gazprom Cuts 2020 Investment Program Due to Pandemic

By Adria Calatayud

Gazprom PJSC said Wednesday that it had reduced its investment program and operating costs for 2020, citing market conditions caused by the coronavirus pandemic.

The Russian energy giant said it plans to invest 922.49 billion Russian rubles ($11.94 billion) this year, which is RUB182.24 billion below its original investment program approved in December 2019. The new plan was been approved by the company's board.

The company has also lowered its planned borrowings for the year to RUB501.29 billion, or RUB56.48 billion less than previously intended.

Gazprom said operating costs will be reduced by RUB297.1 billion, which will provide full coverage of the company's liabilities without a deficit.

Gazprom said it would invest RUB720.67 billion for capital construction projects, RUB105.79 billion for asset acquisitions and RUB96.02 billion for long-term financial investments.

Write to Adria Calatayud at adria.calatayud@dowjones.com

(END) Dow Jones Newswires

October 28, 2020 06:43 ET (10:43 GMT)

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