Gazprom boosts 2011 borrowing and investment plan

MOSCOW: Russian gas giant Gazprom increased its 2011 investment programme by 36 percent to 1.277 trillion roubles ($39.4 billion) thanks to rising gas sales and prices due to new projects development, the company said on Tuesday.

Analysts have criticised the company for excessive spending saying it should be more cost-effective.

Total investments this year are set to rise by 460.1 billion roubles compared with the previously drafted plan.

Gazprom also said it has increased external borrowing plan by 60 billion roubles to 150 billion roubles for this year to fund current investment programme and refinance existing loans.