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FX.co ★ Bulgarian Stream likely to replace South Stream

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Forex Humor:::2016-01-28T08:36:00

Bulgarian Stream likely to replace South Stream

Russian gas pipeline projects usually acquire their names from the transit route. It just so happens that the Russian government changes its projects, or streams, as often as their names. For example, the country planned to construct a large-scale South Stream pipeline project. When it was abandoned, Russia made some changes in the transit route and now the new Bulgarian Stream is in view. Bulgaria’s authorities cannot put up with the fact that South Stream was suspended for the long haul and they are trying to resume gas cooperation with Russia by all means.

Bulgarian Prime Minister Boyko Borisov said that the construction of a pipeline importing Russian gas is one of the top priorities in this field and the government will seek resumption of the construction. Obviously, the existing tension between the EU and Russia will be the major difficulty in project implementation. Sofia plans to conduct negotiations on its own and suggested a new name of the stream in order to alleviate the situation. “It will be the Bulgarian Stream, if the Russian side agrees to sell its gas at our border, they are welcome,” Boyko Borisov said in his speech. Besides, the prime minister provided some details on the project. Russia is expected to build a gas hub near the city of Varna which is going to be called Balkan. Russian gas will be delivered through two pipelines under the Black Sea. The annual capacity of each pipe will amount to near 10 bcm. Apart from Russian gas, Balkan will be able to receive Azerbaijani gas as soon as Azerbaijan completes Trans-Anatolian Gas Pipeline.

However, it is not the first attempt by Bulgaria’s authorities to resume the construction of at least some stream. Bulgarian mass media have repeatedly announced the renewal of projects, but the Kremlin denied these statements.

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