Rosneft’s plans on LNG threaten Gazprom’s monopoly

The special purpose company Gazprom LNG Vladivostok, create by Gazprom for the construction and operation of an LNG plant in the primorsk region, was registered in the single registration center in Primorsk town of Artyom that will provide tax revenues to the regional and municipal budgets, sources of the Kommersant affirm. At the same time, Rosneft and ExxonMobil announced that they intend to complete the design of its far Eastern LNG plant, which will be a competitior to Gazprom’s enterprises, before the end of 2014. The Governor of Sakhalin, Alexander Khoroshavin has promised to help the partners on Sakhalin-1 with infrastructure issues. The provision with raw materials and logistics raise questions from competitors of the project; according to experts, its parameters may change. This time there is a political game around gas projects, which may be faced in the struggle for markets.
 
"The registration of the company Gazprom LNG Vladivostok in Primorye will provide tax revenues to local budgets," - the source explained.
According to preliminary estimates of specialists, the tax revenue to the federal budget in the form of VAT during the construction and operation of the plant will make up 100-120 billion rubles. The income tax is expected to be 370 - 400 billion ruble - the federal budget will get 40 billion and the regional one - 330-360 billion rubles. Insurance premiums in the amount of 16 billion rubles will go to the federal budget. The property tax will make up about 150 billion rubles. The tax on personal income is expected to be 7 billion rubles, which will also go to local budgets - regional and municipal.