Total chosen as Gazprom partner

Gazprom recently ditched plans to keep the project a solo one

Russian gas company Gazprom has chosen French energy firm Total as a partner to develop the Shtokman gas field.

Gazprom chief executive Alexei Millar said the Total would hold a 25% stake in the company controlling the infrastructure of the field.

The two firms are expected to sign an agreement on the project on Friday.

The gas field in the Barents Sea - holding an estimated with 3.2 trillion cubic metres of gas - could become the world's largest offshore gas field.

As the project gets under way further partners could be given a 24% share in the development, Mr Millar added.

Other companies that could join the project include Norway's Statoil and Norsk Hydro as well as US group ConocoPhillips.

Gazprom is the monopoly supplier of gas in Russia, and is playing a key role in supplying the rest of Europe with gas supplies.

Demand for natural gas is expected to rise sharply, while other European sources of natural gas, such as the North Sea, are likely to decline.