Shareholder FAQs

What am I entitled to as a Gazprom shareholder?

A share is an issue-grade security which entitles its owner (a shareholder) to a portion of the relevant joint stock company's profit in the form of dividends, as well as to the participation in the management of the joint stock company and to a portion of the property remaining after the dissolution of such joint stock company.

Shareholders of Gazprom (hereinafter also referred to as the Company), similar to shareowners of other joint stock companies, have the following basic rights:

• to participate in the General Shareholders Meeting (hereinafter also referred to as the Meeting) and exercise voting rights on all issues falling within the Meeting competence; and
• to receive dividends.

A shareholder (group of shareholders) with at least 2 per cent of the Company's share capital is entitled to nominate candidates for the Gazprom Board of Directors and Audit Commission, as well as to propose items for the agenda of the Meeting. A shareholder (group of shareholders) with at least 10 per cent of the share capital is entitled to initiate an extraordinary Meeting.

Does Gazprom have any preferred shares?

Pursuant to the Company's Articles of Association, Gazprom only has ordinary registered uncertificated shares of equal nominal value. Gazprom has never issued any preferred shares.

How can I take part in Gazprom's General Shareholders Meeting?

The list of persons having the right to take part in the Meeting is drawn up on the basis of the Gazprom Shareholders Register as of the date determined by the Board of Directors in the lead-up to the Meeting.

Pursuant to Article 60, Clause 2 of Federal Law on Joint Stock Companies No. 208-FZ of December 26, 1995, voting ballots (in paper copy) with the Meeting agenda are sent via registered mail (not later than 20 days prior to the date of the Meeting) to the shareholders who are included in the list of persons entitled to take part in the Meeting and keep the record of their rights to shares in a register (not in a depository). If the Meeting is held in the form of joint attendance of shareholders, shareholders' votes represented by the voting ballots are only counted if the ballots are received by the Company not later than two days prior to the date of the Meeting; if the Meeting is held in the form of absentee voting, shareholders' votes represented by the voting ballots are only counted if the ballots are received before the date of the Meeting (which does not include the day of the Meeting itself).

A notice of the Meeting with the registration time for participants (to be specified if the Meeting is held in the form of joint attendance) is published on the Gazprom official website (www.gazprom.com) not later than 30 days prior to the Meeting.

Shareholders wishing to personally attend the Meeting held in the form of joint attendance must arrive at the appointed time and provide IDs for registration.

As of September 2022, Gazprom has about 1,800,000 shareholders. Therefore, shareholders are advised to exercise their right to take part in the Meeting via their trustees by proxy or via filled out voting ballots sent to the Company.

How can I buy or sell Gazprom shares?

Shares represent a type of property shareholders can use at their own discretion. Shareholders have the right to sell their shares to an individual or entity wishing to buy them at a mutually beneficial negotiated price, with due consideration of the temporary restrictions set out by Executive Orders of the President of the Russian Federation No. 81 of March 1, 2022, and No. 95 of March 5, 2022, in relation to transactions (operations) with foreign entities or individuals who are connected to foreign governments carrying out hostile actions towards the Russian Federation, Russian entities and Russian individuals.

Shares are acquired pursuant to a sale and purchase agreement executed under the existing laws with subsequent re-registration of ownership rights at a relevant stock accounting organization (depository or registry).

Gazprom shares can be traded through a securities market professional. As a rule, such services are offered by brokerage companies at a certain fee for transactions.

Please note that Gazprom does not sell or buy its own shares. Federal Law on Joint Stock Companies No. 208-FZ of December 26, 1995, provides a limited list of reasons for transferring a company's own shares to another party. Those reasons include incorporation of a company, placement of additional shares, and sale of shares previously acquired or bought back from shareholders (the shares must be sold at a price equal to or greater than their market value not later than one year after the ownership rights are transferred to the company). At present, Gazprom does not place additional shares. Moreover, the Company has not acquired or bought back its own shares. Summing up the above, today Gazprom has no opportunity to sell the Company's shares to any party pursuant to the existing legislation.

You can sell all or part of your shares. Please note that the income from selling the securities is subject to personal income tax according to the Tax Code of the Russian Federation (hereinafter referred to as the Tax Code).

The market price of shares is constantly fluctuating. It varies depending on supply and demand in the securities market (Russian stock exchanges).

Information about the Gazprom share price in the stock market is available through the website of the Moscow Exchange (www.moex.com). Moreover, the exchange's website has lists of accredited securities market professionals providing brokerage services.

Information about the current Gazprom share price on the national stock exchanges is also available on the Gazprom official website (www.gazprom.com). The website provides data about Gazprom's share price performance for a chosen period.

It should be noted that decisions on selling shares can be made solely by shareholders themselves. The above information is for reference purposes only.

How do I calculate the tax on share sales?

Pursuant to Article 208, Clause 1, Sub-clause 5 of the Tax Code, income from sources within the Russian Federation includes income from the sale in the Russian Federation of shares or other securities recognized as subject to the personal income tax under Article 209 of the Tax Code, with regard to individuals, including tax residents and non-residents of the Russian Federation.

The personal income tax on share sales is 13 per cent and/or 15 per cent for individuals who are tax residents of the Russian Federation, depending on the total amount of tax bases for the relevant tax period (Article 224, Clause 1 of the Tax Code), and 30 per cent for individuals who are non-residents of the Russian Federation (Article 224, Clause 3 of the Tax Code).

Article 214.1 of the Tax Code covers the issues relating to the tax base and the calculation and payment of the personal income tax on securities transactions.

The tax base for securities transactions is defined as the revenue calculated as the difference between the income from securities transactions and the actual documented expenses borne by the taxpayer in connection with the acquisition, sale, or safekeeping of securities (Article 214.1 of the Tax Code).

The papers confirming the said expenses are issued by individuals or entities that keep a record of shares and sell them upon the shareholder's request or buy them from the shareholder (brokers, custodians, managing companies, and others that trade shares in the shareholders' favor).

If a tax agent (broker or custodian) does not withhold the personal income tax for whatever reason, an income statement together with other documents mentioned above are submitted to the tax inspectorate at the end of the year when shares are sold.

Imposition of personal income tax on the income from the sale of shares that had been acquired through privatization vouchers

The Ministry of Finance of the Russian Federation, which is by virtue of Article 34.2, Clause 1 of the Tax Code authorized to issue written clarifications regarding the application of the tax and levy legislation of the Russian Federation, states in its clarification letters that the market value of shares observed at the time when such shares were obtained in exchange for privatization vouchers can be deemed to constitute the acquisition cost of the shares that had been acquired through privatization; in the event the shares did not have an officially recognized market value at the time when they were obtained in exchange for privatization vouchers, the nominal (negotiated) price of the vouchers the shares were exchanged for can be deemed to constitute the acquisition cost of such shares (refer to letters No. 03-04-05/3-195 dated March 29, 2011; No. 03-04-05/3-990 dated December 2, 2011; No. 03-04-05/3-163 dated February 10, 2012; No. 03-04-05/3-212 dated February 22, 2012; No. 03-04-05/3-541 dated April 20, 2012). The position is supported by courts in their rulings (for example, refer to the decisions rendered by the Moscow City Court in case No. 33–34499 dated November 10, 2010, and case No. 4г/5–2019/11 dated May 3, 2011, as well as the decision rendered by the Moscow Regional Court in case No. 33–23320 dated December 2, 2010).

I am the owner of American Depositary Receipts representing Gazprom shares. What is the situation with my securities?

ADRs (American Depositary Receipts) are depositary receipts representing the ordinary shares of Gazprom which are issued by The Bank of New York Mellon depository bank. ADRs confirm the ownership to Gazprom shares deposited on an account with The Bank of New York Mellon in the depository of Bank GPB (JSC).

On April 29, 2022, Gazprom announced the termination of its Programs of depositary receipts representing shares in the Company. As of April 27, 2022, holders of depositary receipts of the Company have the right to convert such receipts into shares. One ADR represents two shares of Gazprom.¹

The list of actions to be performed by owners of depositary receipts to convert them into shares is available at adr.gazprom.com.

Holders of ADRs cannot receive dividends before the ADRs are converted into shares. Please note that, under the current legislation, the right to receive undrawn dividends is retained for three years.

Do I, as a Gazprom shareholder, have to inform the relevant stock accounting organization of changes in my personal data?

Shareholders are strongly advised to update in a timely manner the information about themselves, their representatives, beneficial owners, and beneficiaries (for individuals: full name and ID information, including registration address; for entities: company name, Primary State Registration Number, Taxpayer Identification Number, address specified in their Articles of Association, and full name of chief executive officer) at the relevant stock accounting organization (a depository of Gazprombank (Joint Stock Company), another depository or the JSC DRAGA (SR-DRAGa) registrar).

Otherwise, shareholders might fail to receive voting ballots for the Meeting and due dividends. Moreover, it might impede securities operations, such as purchase and sale transactions, receipt of securities account statements or account activity statements for tax services, inter-depository transfers, inheritance or gift procedures, etc.

In order to receive dividends in a timely and prompt manner, it is recommended that shareholders provide exact information on any changes in their personal data before the date when the list of persons eligible for dividends is compiled (the date is determined by the Meeting).

Introduction of changes into the data indicated in the questionnaire of a securities account owner at a depository of Gazprombank (Joint Stock Company)

The procedure for introducing changes into the questionnaire data of a securities account owner is stipulated by the current Depository Terms and Conditions of Bank GPB (JSC) (hereinafter referred to as the Terms and Conditions) which form an integral part of the depository agreement.

Pursuant to the Terms and Conditions, the customer can update the questionnaire data (address of residence) and/or details for income payment on securities indicated in the questionnaire by visiting any depository office of Bank GPB (JSC) in person to execute the relevant instruction to the depository. During such visit, the customer shall present an identity document (passport).

The addresses and telephone numbers of the Bank GPB (JSC) depositories are available at the website of Bank GPB (JSC) (section 'Corporate Banking/Depository Transactions/Depository Network').

Depositors who cannot visit a depository office in person can use the option of changing the questionnaire data of a securities account owner by sending a relevant letter/application (which can be drawn in any form) to Bank GPB (JSC) by mail. Such letter/application shall be accompanied by a notarized copy of all pages of the identity document. The letter/application shall include the first name, the last name and the patronymic hand-written by the depositor and be signed by the depositor personally. The signature of the depositor in the application shall be authenticated by a notary public. The requirements to the documents submitted by depositors to the depository by mail for the purpose of changing the questionnaire data are set out in the Terms and Conditions, which stipulate that the depository enters the appropriate changes into the questionnaire of the customer upon condition that the data submitted by the customer are sufficient and unambiguous.

As per the Terms and Conditions, the depository can also enter changes into the information about the bank account details of the depositor on the basis of a letter (application) submitted by mail. The letter (application) shall include the first name, the last name and the patronymic hand-written by the depositor and be signed by the depositor personally, and shall be accompanied by a copy the depositor's identity document (passport), as well as the new bank account details for income payment on securities.

Changes into the depositor's bank account details can be entered on the basis of the letter as described above only upon condition that the depositor's questionnaire data which were used during the process of registration with the depository remain unchanged.

Introduction of changes into the information on the personal account data that was submitted to JSC DRAGA

The information regarding the introduction of changes into the questionnaire data of a registered person, receipt of information about the personal account of a registered person, and document submission procedure are available on the website of the JSC DRAGA registrar (hereinafter referred to as the Registrar) at www.draga.ru (section 'Акционерам', 'Услуги', 'Изменение анкетных данных' / 'Получение информации' ('Shareholders', 'Services', 'Change Your Questionnaire Data' / 'Receive Information') (in Russian)). The forms to be filled out, as well as the addresses of the branches of JSC DRAGA and transfer agents can also be found at www.draga.ru (section 'Акционерам', 'Контакты', 'Офисы обслуживания' / 'Дополнительные офисы обслуживания' ('Shareholders', 'Contacts', 'Customer Service Centers' / 'Additional Customer Service Centers' (in Russian)).

Please note that it is to shareholders' own advantage to timely provide any information on the changes in their details (such as passport details, place of residence, bank details if dividends are paid out via wire transfer, etc.) to a relevant stock accounting organization, i.e. a registry or depository. Pursuant to Article 8.2, Clause 16 of Federal Law on Securities Market No. 39-FZ of April 22, 1996, if any changes occur in the details of individuals or entities having an active personal account (securities account) and such individuals or entities do not provide information on such changes, the issuer (the person liable on securities), the registrar of the securities owners and the depository shall not be liable for any damages incurred by such individuals or entities in connection with the failure to submit information.

For any changes to be introduced into the questionnaire data of a registered person, the following documents are to be submitted to the Registrar.

1. Questionnaire of the Registered Person. The shareholder's sample signature on the questionnaire must be notarized. The certification of signature shall include the indication of the following: the place where the notary act was performed; the date (day, month and year written in words) on which the signature was notarized; the first name, the last name and the patronymic of the notary public who certified the signature; the first name, the last name and the patronymic of the person whose signature is notarized. If none of items 13, 14, 15 or 16 are check marked in the questionnaire, it is required to additionally fill out and submit the Checklist (Form No. ОЛ-2) and its corresponding annexes (the Forms to be filled out are available at the website of JSC DRAGA at www.draga.ru (section 'Акционерам', 'Услуги', 'Изменение анкетных данных' ('Shareholders', 'Services', 'Change Your Questionnaire Data') (in Russian)).

2. Pursuant to Clause 3.8 of the “Procedure for opening and maintaining personal and other accounts to be complied with by registrars of securities owners” endorsed by the Order of the Russian Federal Service for Financial Markets No. 13-65/пз-н of July 30, 2013 (hereinafter referred to as the Procedure), Clause 1.8 of the Procedure's Requirements to documents for opening personal accounts, as well as Clauses 5.3.1.11 and 7.3.6 of the Rules for maintaining a register of securities owners, the individual whose documents required for operations are submitted by mail shall provide a notarized copy of all pages of his/her identity document that contain any records. All pages of a valid passport that contain any records can serve as such document.

3. Document confirming that the payment for the services of the Registrar has been made. A copy of the payment receipt shall be sent to the Registrar together with other documents.

Shareholders can also receive an extract from the register of securities owners of Gazprom by submitting to the Registrar the Direction to provide the information from the register (the Form to be filled out is available at the website of the Registrar at www.draga.ru (section 'Акционерам', 'Услуги', 'Получение информации' ('Shareholders', 'Services', 'Receive Information') (in Russian)). As per the rates established for the services of the Registrar, issuance of an extract from the register (except for the cases when such extract is issued during the placement of securities) and provision of the extract via registered mail are fee-based services. The payment details and form are available at www.draga.ru (section 'Акционерам', 'Тарифы и прейскуранты' (Тарифы № 1), 'Банковские реквизиты для оплаты' ('Shareholders', 'Rates & Price Lists' (Rates No. 1), 'Bank Details for Payment') (in Russian)). A copy of the payment receipt shall be sent to the Registrar together with other documents.

How are dividend amounts determined?

The dividend calculation principles are set out in the revised Dividend Policy of Gazprom (endorsed by the Company's Board of Directors on December 24, 2019).

The Gazprom Board of Directors determines the recommended amount of dividends and communicates it to the Meeting which has the authority to make the final decision as regards the amount of dividend payouts.

The target level of dividend payouts under the Dividend Policy is at least 50 per cent of the Gazprom Group's adjusted net profit under IFRS. The adjustments applied to the net profit in the course of dividend calculation are aimed at offsetting the effect of non-monetary items, including foreign exchange rate differences, impairment of fixed assets, etc.

What is the procedure for dividend payout?

Pursuant to Federal Law on Joint Stock Companies No. 208-FZ of December 26, 1995, and Gazprom's Articles of Association, the right to receive annual dividends is granted to the individuals or entities owning Gazprom shares at the close of business on a date established by the Meeting making the decision on dividend payout. The said date can be set not earlier than 10 days before the decision (announcement) on dividend payout is made and not later than 20 days from the date of such decision. The payout period must not exceed 10 working days from the date when the list of shareholders eligible for dividends is drawn up for nominal holders and custodians of securities that are market professionals listed on the Shareholders Register and 25 working days from said date for other individuals or entities on the Shareholders Register.

Gazprom has Gazprombank (Joint Stock Company) as its dividend disbursing agent, which pays out dividends through its branches and other financial entities upon transfer of funds by the Company. Due to changes in the Russian legislation, starting with the 2014 dividend payout based on the Company's operating results in 2013, Gazprombank serves as the dividend disbursing agent solely for individuals or entities listed directly on the Shareholders Register. The clients of depository banks, including Gazprombank's Depository, receive dividends from their depositories (multistage dividend payout).

In order to facilitate the dividend payout process, shareholders listed on the Shareholders Register may specify their preferred dividend payment method (wire transfer or money order) by indicating the corresponding details in the Questionnaire of the Registered Person. Shareholders who are clients of depository banks receive dividends by wire transfer.

To make any necessary changes to the payment methods and account details (residence address for money orders, bank account information, etc.) required to receive dividends after the list of shareholders eligible for dividends is drawn up (on the condition that a shareholder has yet to receive the dividends), shareholders need to apply to the relevant stock accounting organization (depository or registrar) and change their questionnaire data. The changes are communicated by the registrar to the Company with the purpose of dividend payout.

How can I, as a Gazprom shareholder, receive dividends if I do not reside in the Russian Federation?

Russian issuers operate exclusively in rubles when working with individuals or entities eligible for dividends. At present, dividend payout is performed in line with Executive Order of the President of the Russian Federation on a Temporary Procedure for Meeting Obligations to Certain Foreign Creditors No. 95 of March 5, 2022. If an individual or entity meets the criteria specified in Clause 1 of the above Executive Order (for example, has a citizenship of a country that carries out hostile actions towards the Russian Federation, Russian entities and Russian individuals), the dividends due to such individual or entity are transferred to Type C bank accounts.

The regime of such accounts is implemented pursuant to the Resolution of the Bank of Russia's Board of Directors of November 21, 2022, on Establishing the Regime of Type C Accounts for Making Settlements and Performing (Executing) Transactions (Operations) Subject to the Procedure for Meeting Obligations Stipulated by Executive Order of the President of the Russian Federation on a Temporary Procedure for Meeting Obligations to Certain Foreign Creditors No. 95 of March 5, 2022.

As regards individuals or entities not residing in the Russian Federation who do not meet the criteria specified in Clause 1 of the above Executive Order, the dividends due to them are transferred to accounts in Russian banks according to the available details. Gazprom does not send money orders in rubles outside Russia.

When can I buy shares on the Moscow Exchange to gain the right to dividends?

The General Shareholders Meeting determines the date on which persons must be holders of shares in order to be eligible for dividends (hereinafter referred to as the Record Date). If shares are on a securities account (or on a personal account in the register) on the Record Date, their holder is eligible for dividends. If such shares are sold after the Record Date, the right to receive dividend payout on them is retained.

It is important to remember that, in line with the stock trading mode of the Moscow Exchange (T+2), the acquired securities will be credited to the securities account of the buyer on the second trading day following the day of the transaction.

How can I gain the right to inherit shares?

As with any other inheritable property, the registration of ownership of shares is subject to the existing legal norms.

In order to gain the right to inherit Gazprom shares, you should employ the services of a civil-law notary (if less than six months have passed since the shareholder's death) or apply to the court having jurisdiction over the shareholder's (testator's) last known official place of residence (if more than six months have passed since the shareholder's death and the heirs have not consulted a notary to register ownership of the testator's property) to receive a certificate of the right to inheritance (in relation to shares or dividends) by operation of law or a relevant judgment.

Based on the heir's application, an original copy of the death certificate, and a document verifying the deceased's ownership of the shares (e.g. an extract from the Gazprom Shareholders Register, a copy of a securities account document from a depository bank or voting ballots for Gazprom's shareholder meetings sent to the shareholder), the notary or judge opens a probate. The notary (judge) must direct an inquiry on the number of shares registered in the account and the amount of dividends payable to the testator to the relevant stock accounting organization (JSC DRAGA, Gazprombank (Joint Stock Company), other depository or, if the heir is unaware of the stock accounting organization, Gazprom). Please note that the inquiry is made using a special Russian-language application form. The notary (judge) must indicate the full name, address and other available information about the shareholder in the inquiry to identify him/her on the register. The signature in the inquiry must be authenticated by a round seal.

Upon receiving the requested information, the notary draws up a certificate granting the right to inheritance (in relation to shares or dividends) by operation of law; the judge delivers a corresponding judgment.

The heir then comes to the testator's stock accounting organization with a passport and an original copy of the certificate/judgment, whereupon he/she opens an account in his/her name, signs an order to transfer shares by inheritance, and pays for the registrar's/depository's services at the established rates.

Does Gazprom render financial assistance to its shareholders?

At present, the existing laws, Gazprom's Articles of Association and other corporate documents of the Company do not provide for any financial assistance, benefits or any other advantages for Gazprom shareholders.

Moreover, as per Article 31, Clause 1 of Federal Law on Joint Stock Companies No. 208-FZ of December 26, 1995, each of the Company's ordinary shares provides its holder with the equal scope of rights.

Summing up the above, all shareholders of Gazprom have equal rights arising from the ownership of a security, and the Company does not make any additional payments to certain shareholders.

¹Under Rule 144A depositary receipt program, one receipt represents ten shares of Gazprom.