GAZPROM: BUSINESS GROWTH, ENHANCING …

1 2018 GAZPROMINVESTOR DAYGAZPROM: BUSINESS GROWTH, ENHANCING SUPPLY SECURIT Y2018 GAZPROMINVESTOR DAY2018 GAZPROMINVESTOR DAY2 Thispresentation,includingahardcopyofthe seslides,theinformationcommunicateddurin ganydeliveryofthepresentation,bothoralan dwritten,andanyquestionandanswersessiona ndanydocumentormaterialdistributedatorin connectionwiththepresentationandallinfor mationcontainedthereinincludinganyinform ationprovidedbyorobtainedfromthirdpartie s(together,"Presentation")hasbeenprepare dbyPJSCG azpromanditsconsolidatedsubsidiaries(tog ether,the"Company") , ,retransmittedorfurtherdistributedtothep ressoranyotherpersonorpublished,inwholeo rinpart, ,oranysolicitationofanyoffertopurchaseor subscribefor,anysharesorothersecuritiesr epresentingsharesintheCompany,norshallit ,anypartofitorthefactofitsPresentationor distributionformthebasisof,orbereliedoni nconnectionwith, ,oranyothermaterialdiscussedatthepresent ationoronitscompleteness, ,theindustry, , , ,studiesandsurveysgenerallystatethatthed atacontainedthereinhavebeenobtainedfroms ourcesbelievedtobereliable, ,unduerelianceshouldnotbeplacedonanyofth eindustry, ,norepresentationsorwarrantiesofanykinda remadebyanypersonastotheaccuracyofsuchst atements,estimatesorprojections,orthatan yoftheeventsexpressedorimpliedinanysuchs tatements,estimates.

2 Andexpresslydisclaimsanyintention,toupda teorreviseanysuchstatements, ,anythirdparty,noranyoftheirrespectivedi rectors,officers,partners,employees,agen ts,affiliates,representativesoradvisors, acceptanydutyorresponsibilitytoyou,wheth erincontractorintort(includingwithoutlim itation,negligenceandbreachofstatutorydu ty),misrepresentation,restitutionorother wise(ineachcasewhethercausedbynegligence orotherwise)andshall,tothefullestextentp ermissiblebylaw,notbeliableinrespectofan yloss,damageorexpenseofwhatsoevernature, howsoevercaused, "forward-lookingstatements,"whichinclude allstatementsotherthanstatementsofhistor icalfacts,including,withoutlimitation,an ystatementsthatareprecededby,followedbyo rincludethewords"targets,""believes,""ex pects,""aims,""intends,""will,""may,""an ticipates,""would,""plans,""could" ,uncertaintiesandotherimportantfactorsbe yondtheCompany'scontrolthatcouldcausethe actualresults,performanceorachievementso ftheCompanytobemateriallydifferentfromfu tureresults, ' , , ,andneithertheCompanyoranyofitsrespectiv eagents,employeesoradvisorsintendsorhasa nydutyorobligationtosupplement,amend.

3 Updateorreviseanyoftheforward-lookingsta tementscontainedhereintoreflectanychange intheCompany'sexpectationswithregardther etooranychangeinevents, ,eveniftheCompany'sresultsofoperations,f inancialconditionandliquidityandthedevel opmentoftheindustryinwhichtheCompanyoper atesareconsistentwiththeforward-lookings tatementscontainedinthisPresentation, DAYALEXANDER MEDVEDEVD eputy Chairman of Management CommitteeExportKIRIL POLOUSH eadof DirectorateStrategy2018 GAZPROMINVESTOR DAYVSEVOLOD CHEREPANOVM ember ofthe Management Committee,Headof DepartmentUpstreamANDREY KRUGLOVD eputy Chairman of Management CommitteeFinanceGAZPROMPRESENTATION SPEAKERS2018 GAZPROMINVESTOR DAYSTRATEGYKIRIL POLOUSH eadof Directorate2018 GAZPROMINVESTOR DAY2018 GAZPROMINVESTOR DAY5 STRATEGY68%24%8%GASOILPOWERP roductionExports2 700 5bnt of oil andcondensateRevenue structure11 According to IFRS standards and taking into account revenue structures of gas.

4 Oil and electrical power companies of gazprom s Group2 Including exports to FSU countries19932016 gazprom S ANNIVERSARY100%tcmof gas13tcm2018 GAZPROMINVESTOR DAY6 STRATEGYTRENDS Coal-fired generation stalling in some European countries Declining global investments in renewable energy Asian LNG premium LNG marinization EV rush Increased demand for Russian gas in Europe Extension of OPEC and Russia s agreement to cut oil production Gradual increase of hydrocarbon prices New US, Australian and Russian LNG volumes show up US gas production cut in 2016 Imposition of gas export restrictions mechanism in Australia Cancellation of Northern field production cap in Qatar Hydrocarbon production growth in Iran after partial lifting of sanctions Historic high growth of demand and imports of natural gas in ChinaKEY EVENTSG azprom s long-term position in the global energy market has a great potential due to.

5 Rich resource base of conventional fields Well-developed gas transportation infrastructure Low operating costs Availability of long-term gas supply contracts Active work on diversifying the range of products, supply routes and marketsKEY EVENTS OF 2017 CREATED AN ADDITIONAL POTENTIAL FOR STRENGTHENING gazprom S STRATEGIC ADVANTAGESKEY EVENTS AND DEVELOPMENT TRENDS2018 GAZPROMINVESTOR DAY7 STRATEGY+20%World energy consumptionAsia-Pacific region+ share in energy region#1 New leader in terms of gas consumptionCAGR2035 GLOBAL ENERGY OUTLOOK2018 GAZPROMINVESTOR DAY8 STRATEGY20162035 MinMax>69% gazprom holds exclusive rights for gas pipeline exports from Russian Existing amount of PJSC gazprom s functions will be maintained DRAFT RUSSIAN ЕNERGY STRATEGY UNTIL 20351 Source.

6 Draft Russian Energy Strategy until 2035 (as of March 2017), Energy Research Institute of Russian Academy of +20-38%436436470486497475490503201520202 02520302035bcm+14-15%2035 RUSSIAN GAS INDUSTRY OUTLOOKGas share in energy mix1 gazprom share in productionGas production in Russia1 Gas consumption in Russia12018 GAZPROMINVESTOR DAY9 STRATEGYARE ANY SUBSTANTIAL CHANGES NEEDED FOR THE RUSSIAN GAS INDUSTRY? answer is obvious: NO, not in the foreseeable future Affordable domestic prices High level of gasification in Russia Considerable share of Russian gas in the European market Historic high levels of Russian exports to Europe Ability to maximize export revenue and government payouts avoiding external competition Huge spare production and transportation capacities for quick domestic and external market response Favorable conditions for domestic competition and independent gas producers output growth Mass media pressure Bright future of the industry in theory CONSPROS2018 GAZPROMINVESTOR DAY10 STRATEGYB ovanenkovskoyeKharasaveyskoyeSevero-Kame nnomysskoyeKamennomysskoye-SeaNadym-Pur- Tazand Yamal Peninsula fieldsGAZPROM SPRODUCTION STRATEGYC

7 HayandinskoyeKovyktinskoyeYuzhno-Kirinsk oyeEastern Siberia fieldsRussia s Far East fieldsNew upstream gas projectsFIELDSANNUAL DESIGN CAPACITY, bcmYEAR OF LAUNCHYEAR OF ACHIEVING DESIGN CAPACITYK harasaveiskoye(cenoman-aptian)322023-202 42026-2027 Kharasaveiskoye(neocomian-jurassic)18202 6-20272028-2029 Bovanenkovskoye(neocomian-jurassic) DAY11 STRATEGYP ower of SiberiaPower of Siberia 2 Nord Stream 2 Existing New/ExpansionTurkStreamUkhtaPeregrebnoye GryazovetsTorzhokPochinkiSlavyanskayaСSG ryazovets-SlavyanskayaCSBovanenkovo-Ukht a2 Ukhta-Torzhok2 Vyborg1 Pipelines Bovanenkovo-Ukhtaand Ukhta Torzhokwere launched in 20122 Export capacityPROJECTSLENGTH, kmANNUAL CAPACITY, bcmYEAR OF LAUNCHTurkStream>900 km (offshore section) Stream 2 1,200552019 Gryazovets-Slavyanskaya CS870 802019 Ukhta-Torzhok2 1970452019 Bovanenkovo-Ukhta21>1,200 of Siberia2,962 km, including 2,158 km of the Chayandinskoye-China border38 22019 gazprom S TRANSPORTATION STRATEGYGas infrastructure development 2018 GAZPROMINVESTOR DAY12 STRATEGY1 Including Turkey 2 Including exports (both pipeline & Sn hvitLNG), net of UGS stock changesSources: IHS Markit, Wood Mackenzie, gazprom Conventional gas production nearly halves by 2035 Shale fail.

8 Little or no unconventional gas expected Demand prospects are stable with upside potential Gas is essential for success of EU s ambitious climate policy gazprom will keep further strengthening its marketposition in Europe in line with previously set targets236153216113536572541546010020030 040050060020182020202520302035 IMPORTS -MAXIMUMIMPORTS -MINIMUMSOURCES:IHS MARKITWOOD MACKENZIEI ndigenous productionGas demand2 EUROPEAN1 GAS MARKET HOLDS STRONG LONG-TERM POTENTIALGAZPROM S SHARE EVOLUTION IN THE EUROPEAN GAS MARKET253035402025201531%up to 35%%300 325 BCM (2018)GAS IMPORTS 393 -459 BCM(2035)bcm2018 GAZPROMINVESTOR DAY13 STRATEGY33%40%16%11%58%19%10%14% 15 COUNTRIESSPAINARGENTINAINDIATURKEYJORDAN JAPANCHILECHINASOUTH KOREAMEXICO48%43%28%40%24%16%0%100%20172 016 IBERIATURKEYOTHER COUNTRIES (EU)1201612017 Sources.

9 IHS Markit, gazprom estimates1 Totals don t sum due to rounding 2 Including Turkey 3 Middle East & North Africa ( Egypt)Top-10 LNG destination countries in 2016 2017and total supply by regionLATIN LNG was mainly supplied to European marketswith constrained access to pipeline gasDESPITE THE MEDIA FUSS, EUROPE WAS ALMOST NON-EXISTENTC omparison of gazprom and LNG supplyvolumes to the European2market (figurative) DAY14 STRATEGYS ources: IHS Markit, Wood Mackenzie1 Net of UGS stock changes Indigenous gas production growth is crucially dependenton shale potential, which is yet to be proven countrywide Even with shale gas success, demand growth will outstrip it In less than a decade gazprom is set to become a major player in China holding the largest gas supply contract ever Further growth expected as new pipeline projects advanceCHINA SGAS MARKET: TRANSITION FROM BYSTANDER TO MAJOR SUPPLIERGAZPROM S PIPELINE GAS SHARE REVOLUTION IN THE CHINESE GAS MARKET1463911573372425982736140100200300 40050060070020182020202520302035 IMPORTS -MAXIMUMIMPORTS -MINIMUMSOURCES.

10 IHS MARKITWOOD MACKENZIEI ndigenous production(Including unconventional gas)Gas demand185 127 BCM GAS IMPORTS 207 277 BCM(2018)(2035)0510152035202520170%10 12%>13%%bcm2018 GAZPROMINVESTOR DAY15 STRATEGYCOMMISSIONING OF LARGE EXPORT-ORIENTED PROJECTSBY 2020 Nord Stream 2 TurkStreamPower of Siberia55>1, >9002017 (Q2)2019 382,1582014 2019 Export capacity, bcmLength, kmConstruction start-upCommissioning dateBuilt as From Chayandinskoefield to the Russia-China border150%GERMANYRUSSIAGERMANYRUSSIARUSS IACHINAY akutskChitaIrkutskCHINARUSSIACHAYANDINSK OYEFIELDKOVYKTINSKOYEFIELDAMUR GPPRUSSIATURKEYTURKEYRUSSIAEXISTING PIPELINEPERMITTING STAGEEXISTING PIPELINEPIPELINE UNDER CONSTRUCTIONPIPELINE UNDER CONSTRUCTION2018 GAZPROMINVESTOR DAY16 STRATEGYGAS BUSINESS INVESTMENT OUTLOOKbnRUB1 Average annual investments up to 2035 will be capped at RUB 1 tnThat includes maintenance projects, construction in progress ( Chayanda, Kovykta, Power of Siberia, Nord Stream 2, TurkStream, Amur GPP etc.)