The Wall Street Journal-20080205-Gazprom Board Picks Slate- Russia-s Zubkov Is Front-Runner To Follow Chairman

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Gazprom Board Picks Slate; Russia's Zubkov Is Front-Runner To Follow Chairman

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MOSCOW -- Russian gas monopoly OAO Gazprom approved a list of candidates for its new board, which shareholders will choose at the annual meeting on June 27.

Shareholders could pick Prime Minister Viktor Zubkov as a successor to Chairman Dmitry Medvedev, who must step down if he is elected president this spring, as expected. Mr. Zubkov was touted last week by the Russian press as a possible successor to Mr. Medvedev.

"Zubkov's nomination to the board indicates to us that he is a likely front-runner for the chairmanship now that President [Vladimir] Putin is slated to take the role of prime minister in the next government," investment bank Renaissance Capital said in a note last week.

With a history as a Soviet bureaucrat, Mr. Zubkov isn't known for liberal overhauls. His appointment isn't expected to provoke excitement in the market, Renaissance analysts said. Gazprom's local shares rose 2.4%, in line with the rise in Russia's benchmark RTS index. They reacted little in the immediate aftermath of the announcement.

Mr. Zubkov, 66 years old, emerged onto Russia's political scene in September, when he was Mr. Putin's surprise choice for prime minister. Before Mr. Putin's endorsement of Mr. Medvedev, some observers had said Mr. Zubkov could become Russia's next president. He is the former head of the Federal Financial Monitoring Service, a market watchdog aimed at fighting financial crime.

Gazprom said the list of 19 candidates for its board includes Mr. Zubkov, Chief Executive Alexei Miller, Deputy Chief Executive Alexander Ananenkov, Economy Minister Elvira Nabiullina and Energy Minister Viktor Khistenko.