Gazprom Improving Efficiency Through Innovations

The Gazprom Management Committee approved the 2017 Progress Report on the Company's Innovative Development Program until 2025.

It was noted that Gazprom made consistent and targeted efforts to improve the efficiency of its innovations. The Innovative Development Program until 2025 serves as an effective instrument for setting the priority objectives and lines of work in this area. The Program makes a substantial contribution to the sustainable and efficient development of Gazprom.

The Company pays great attention to R&D (research and development) and pre-investment studies, allocating significant resources for that purpose every year. In 2017 alone, that amount reached RUB 8.2 billion. Last year, over 325 innovative developments were adopted at the Gazprom Group's facilities, with the total effect from their utilization expected to exceed RUB 310 billion.

Gazprom takes measures to streamline the corporate system for intellectual property management by, among other things, developing the Patent Strategy of Gazprom until 2025. The strategy will allow the Company to optimize the legal protection of its technical and technological solutions. Gazprom actively works with patents. Over the course of 2017, the Company obtained over 200 patents and applied for more than 250 new ones.

In 2017, Gazprom drew up and started implementing the Program for research and development by the organizations of the Russian Academy of Sciences in the interests of Gazprom.

Engagement with Russian educational institutions is also an important part of the Innovative Development Program. 2017 saw the approval of four new R&D programs undertaken by educational institutions. Moreover, the Company is deeply involved in the development and updating of educational programs in line with the long-term strategic interests of Gazprom. In 2017, the Company's efforts in that area covered 72 such programs.

In addition, Gazprom closely collaborates in the field of science and technology with companies in the related industries and with foreign partners.

The issues related to the implementation of the Innovative Development Program until 2025, including the efficiency of R&D investments and the approval of the updated Program, will be submitted for consideration by the Company's Board of Directors.

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