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Gazprom Sales Down

Gazprom reported sales declines in Europe and its home market, showing the importance of its strategy to expand into Asia.

Gazprom's sales of gas to Europe and other countries fell 0.5 percent to 416 billion rubles ($13.3 billion) in the first six months of the year, while sales to Russia fell 10 percent to 120 billion rubles, according to the company's second-quarter results, announced Friday.

Gazprom's net profit fell to 150.8 billion rubles in the April-to-June period from 303.7 billion a year earlier, beating a forecast of 139 billion in a Reuters poll of analysts.

Capital expenditure was 560 billion rubles ($17.9 billion) for the six months. Gazprom has increased its investment plans to $31 billion for this year.

(Reuters)

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