Kyrgyz Prime Minister Felix Kulov and Gazprom CEO Alexei Miller reached a relevant agreement during talks in Moscow.
The new joint venture "will focus on the geological survey, attracting investments in the republic's oil and natural gas sector and reconstructing the existing facilities," the government's press service said.
According to Gazprom experts, the development of new fields will boost natural gas production in Kyrgyzstan.
Gazprom and Kyrgyzstan signed a 25-year agreement on cooperation in the gas sector in May 2003.
The confirmed natural gas reserves in Kyrgyzstan are valued at 6 billion cu m. The Central Asian republic produces about 30 million cu m of natural gas annually, a figure expected to growth to 40 million cu m by 2010.
Kyrgyzstan consumes 700 million cu m per year, a demand currently satisfied by imports from Uzbekistan.