The Russian daily Kommersant reported that Gazprom is planning to swap more than half of its shares in Novatek for 51% of Sibneftegaz.

"We decided that we will give away around half of our stake in Novatek (to Gazprombank) for 51 percent of Sibneftegaz," said a Gazprom source.

This swap is expected to make Russian oil trading Gennady Timchenko Novatek's biggest shareholder with 18.2 percent of the shares. Gazprom currently holds 19.4 percent of the compamy. Gazprom’s source added that the deal could be signed in June.

The newspaper also added that the company's annual gas production would be the same as Russia's Novatek, and would be established on the basis of Sibneftegaz, Purgaz and Nortgaz companies.