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GAZ Group and Gazprom to cooperate on using natural gas as a motor fuel

GAZ Group, part of Basic Element, one of the Russia’s largest diversified industrial groups, and Gazprom have agreed to cooperate on using natural gas as a motor fuel. The goal of cooperation between the companies is to develop and implement gas-engine vehicles of different classes in Russia as well as to create favorable conditions for the development of a domestic market for natural gas as a motor fuel.

According to the memorandum of understanding, GAZ Group will be involved in the adaptation of the industrial and technological base of companies operating natural gas vehicles in accordance with current regulatory documents. Gazprom, in turn, shall provide the filling facilities for compressed natural gas-engine vehicles, coordinate construction of the gas-engine infrastructure facilities in areas with a high concentration of natural gas vehicles, and facilitate testing of gas-engine vehicles.

GAZ Group and Gazprom agreed upon mutual interaction while developing projects associated with using natural gas as an engine fuel. The parties intend to agree on the list of regions identified for supplies of natural gas vehicles along with the list of areas where refueling compressor stations are to be built. The parties also agreed that they would coordinate the organization of the system of occupational training and retraining of engineers and technical specialists dedicated to operation and maintenance of gas-engine vehicles.

GAZ Group considers the development of world-class light commercial vehicles, trucks and buses using gas fuel as one of its priority areas. The cooperation with Gazprom will allow us to coordinate our efforts in expanding the Russian fleet of natural gas vehicles and develop the necessary infrastructure necessary for its operation. Taking into account the high economic efficiency of gas vehicles, the conversion of commercial transport to natural gas will help to increase the competitiveness both of individual businesses and the national economy in general.

—Bo Inge Andersson, President/CEO of GAZ Group

GAZ Group is the largest manufacturer of commercial vehicles in Russia. GAZ Group produces light and medium-duty commercial vehicles, buses, heavy-duty trucks, passenger cars, power trains and automotive components at its 13 plants located in 8 regions of Russia. GAZ Group leads the Russian commercial vehicles market, with 50% of the LCV segment and 65% of the bus segment.

Gazprom holds the world’s largest natural gas reserves. The company’s share in the global and Russian gas reserves makes up 17% and 72%, respectively. Gazprom accounts for 15% and 78% of the global and Russian gas output accordingly.



This is where the USA should be going, but it's being stymied by the oil companies.

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