The Gazprom headquarters hosted today a working meeting between Alexey Miller, Chairman of the Gazprom Management Committee and Dimitar Gogov, Executive Director of Bulgargaz.

The parties discussed the issues of bilateral cooperation in the energy sector and the prospects for widening cooperation in other spheres.

Alexey Miller and Dimitar Gogov laid stress on the successful implementation of the South Stream project. It was mentioned that the construction of gas receiving facilities and those intended for its further transmission through Europe would start in Bulgaria in 2013.

Background

Russian natural gas has been exported to Bulgaria since 1974. In 2012 Gazprom will supply the country with some 2.5 billion cubic meters of gas.

On November 15, 2012 Gazprom Export and Bulgargaz signed a long-term contract for Russian natural gas supplies to Bulgaria. The document envisages annual gas supplies through 2022 in the amount of up to 2.9 billion cubic meters via the traditional gas transmission corridor, and once the South Stream gas pipeline is commissioned – via this new gas supply route.

With a view to diversify natural gas export routes, Gazprom is implementing the project for construction of a gas pipeline running under the Black Sea to the countries of Southern and Central Europe – the South Stream project.

Intergovernmental agreements were signed with Bulgaria, Serbia, Hungary, Greece, Slovenia, Croatia and Austria in order to implement the onshore gas pipeline section.

In July 2010 Russia and Bulgaria inked the Roadmap to perform the feasibility study for the Bulgarian section of the South Stream project. In pursuance of the Roadmap, on October 25, 2010 Gazprom and Bulgarian Energy Holding signed the Agreement on the feasibility study for the Bulgarian section of the South Stream project.

In December 2010 Gazprom and Bulgarian Energy Holding set up on a par the Joint Project Company South Stream Bulgaria to implement the South Stream project in Bulgaria.

On November 15, 2012 a protocol of the Final Investment Decision on the South Stream gas pipeline construction in the Republic of Bulgaria was signed.

On December 7, 2012 the celebrations dedicated to the construction start-up of the South Stream gas pipeline took place at the Russkaya compressor station site (near Anapa, Krasnodar Territory).

First gas supplies via the gas pipeline are scheduled for late 2015.

Bulgargaz is a wholly-owned subsidiary of Bulgarian Energy Holding.