Under the deal, signed in St. Petersburg in the presence of German Chancellor Angela Merkel and Russian President Dmitry Medvedev, E.ON, the world's largest utility, will receive 25% minus one share in Gazprom subsidiary Severneftegazprom, while the Russian energy giant will get a 49% stake in E.ON's ZAO Gerosgaz, which holds a 2.93% interest in Gazprom.
Severneftegazprom holds a license for the Yuzhno-Russkoye oil and gas deposit, which has recoverable reserves of 600 billion cubic meters of gas.
Gerosgaz, founded in 1999, is a joint stock company in which Gazprom Export holds a 51% interest, and E.ON Ruhrgas AG has 49%.
The transfer would reduce E.ON's stake in Gazprom to 3.5% from 6.43%. The asset swap is to be completed in the second half of 2009.
Gazprom CEO Alexei Miller said the deal shows that the companies are strategic, long-term partners.
"We are pleased to welcome E.ON into the Yuzhno-Russkoye project; it will become a third partner and will be able to engage in gas production in Russia," he said.
