Brussels, 26/01/2007 (Agence Europe) - On the fringes of the World Economic Forum in Davos, Alexander Medvedev, deputy chairman of Russian gas giant Gazprom, attempted to ease concerns of EU Energy Commissioner Andris Piebalgs about the signing of a draft agreement between Gazprom and Algerian electricity company Sonatrach (see EUROPE 9352). It's about increased cooperation between Russia and Algeria, explained Medvedev, brushing off EU concerns about Russia trying to create a gas cartel to control supplies to Europe. On Wednesday, Andris Piebalgs told a conference in Berlin that if Russia and Algeria agreed to cooperate in the production and distribution of gas in Europe, 'they could create a kind of cartel'. Alexander Medvedev, however, said: 'It's an absolutely normal business discussion, which could potentially bring cooperation in different areas of the energy sector'. 'It is based not on the assumption of a cartel-type agreement, but based on pure commercial motivation.' 'It is the same as energy companies like Exxon and Shell discussing their joint ventures,' he added. Asked whether the intention was to control prices, Medvedev replied: 'No, it is not possible to control prices in the gas industry due to the structure of the gas market'. On Thursday afternoon, aiming to increase transparency, Russia's ambassador to the EU, Vladimir Chizhov, phoned the EU Energy Commissioner to clarify the situation surrounding Russia's energy deal with Algeria. Russia's energy ministry had already supplied other information, explained a spokesperson for Commissioner Piebalgs, Ferran Tarrandellas. (ab)