UPDATE 2-Gazprom says ups 2010 investment to $28 bln
* Total investment to be 802 bln rbls vs 761 bln
* Investment programme to be increased by 5 percent
* Funding needed for ambitious projects (Changes source to Gazprom)
By Katya Golubkova
MOSCOW, Nov 12 (Reuters) - Russian gas giant Gazprom will increase its investment programme next year by 5 percent to 802.4 billion roubles ($27.94 billion), the company said in a statement on Thursday.
The company said its capital investments will rise to 663.56 billion roubles from previously planned 483.5 billion roubles. Long-term financial investments will rise to 138.84 billion roubles.
Gazprom's investment programme is usually revised several times during the course of the year depending on market conditions. The decision was taken at a management meeting on Wednesday.
Gazprom said its 2010 total revenue will stand at 3.79 trillion roubles. It said it plans to borrow 90 billion roubles in 2010.
Analysts are closely watching the high costs of the world's largest gas firm and have criticised the company for spending too much.
Valery Nesterov, analyst at Troika Dialog brokerage, said it remained to be seen if Gazprom will revise its strategy as the gas market has changed.
"The buyers' gas market has transformed into a sellers' market. And it's obvious that Gazprom's prospects are not as rosy as was the case a few years ago," he told Reuters.
He and Masha Radina from Nomura also noted that in dollar terms, investments could be even lower next year, if the rouble depreciates, as envisaged by the Economy Ministry.
"Usually, Gazprom bases its investment programmes on official macro forecasts -- which is $58 per barrel of oil and a weak rouble (34 per $1)," Radina said.
In September, Gazprom said it would cut its investment programme for 2009 by almost $5 billion to 761.53 billion roubles as the global economic downturn bit and demand for gas fell.
The company will need extra money next year as it prepares to implement ambitious projects including the Nord Stream pipeline to Europe beneath the Baltic Sea and a gas link to the Pacific port of Vladivostok, as well as the development of Yamal Arctic fields.
Gazprom plans to start building the subsea portion of Nord Stream in 2010 after Sweden and Finland recently approved construction in their territorial waters. (Writing by Vladimir Soldatkin; Editing by Gary Hill)
