<div><p>Russian energy giant Gazprom is concerned about losing markets due to a surprise surge in US gas production driven by new extraction techniques, the Kommersant daily reported Tuesday.</p><p>The state-controlled firm is reconsidering its strategy in light of the US "revolution" in shale gas extraction, Kommersant said, citing a company document due to be presented at a board meeting on Tuesday.</p><p>"The situation is aggravated by the so-called revolution in gas extraction from nontraditional sources in the United States," said the document, a speech by Gazprom deputy chairman Alexander Medvedev, quoted by Kommersant.</p><p>"If several years ago not a single organisation known to us was forecasting the rapid growth of gas extraction in the United States, today practically all companies are discussing the prospects of shale gas extraction, which could fundamentally reshape the whole world gas market."</p><p>The surge in US gas production has already "led to the redirection of liquefied natural gas on the markets of EU countries," said the document.</p><p>Gazprom has long made most of its profits by exporting gas to the European Union, but fears of Russian control over EU energy supplies have led the bloc to seek out new sources of gas.</p><p>Russian gas production declined last year, while US gas production grew 3.7 percent, according to US Department of Energy estimates, largely due to improvements in extraction techniques.</p><p>The improvements have opened up reserves of gas embedded in shale rock that were previously too costly to extract, leading energy companies to snap up drilling rights in unlikely places such as New York state.</p><p>Parts of Europe are also believed to have significant untapped reserves of shale gas.</p><p>A source close to Gazprom's board told Kommersant the company may reconsider plans to invest heavily in the Shtokman field, a project originally aimed at serving the United States and Canada, due to the rise in US production.</p><img src="http://admatch-syndication.mochila.com/images/ad.gif?aid=67800216&bid=informcom" /></div><div id="copyright"><div>

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