EIB agrees 110 mln euro loan for Bulgaria-Greece gas link
10/10/2019 10:40
SOFIA, Oct 10 (Reuters) - The European Investment Bank
agreed on Thursday a 110 million euros ($121 million) loan for
the construction of a 182-km gas pipeline linking Bulgaria with
Greece that will end Sofia's complete dependence on Russian gas
and help diversify supplies in southeastern Europe.
Bulgaria, which currently gets all of its gas needs from
Russia, hopes the pipeline with an annual capacity of 3 billion
of cubic metres will be in operation by the end of 2020 and will
transport mainly Azeri gas to the Balkan country, after linking
with the TAP pipeline in Greece.
The project company for the 240 million euros pipeline,
ICGB, also signed on Thursday contracts with Corinth Pipeworks,
part of Cenergy Holdings CENER.BR , to supply the pipes, and
Greek gas contractor J&P AVAX AVAr.AT , to build the gas link.
The project is co-financed by the European Union, whose
competition regulators have cleared state aid for it. The
pipeline will also enjoy a 25-year fixed tax regime.
ICGB is 50% owned by Bulgaria's state-held BEH company. The
remaining shares are held by Greece's DEPA and Italy's Edison
EDNn.MI .
($1 = 0.9082 euros)
(Reporting by Tsvetelia Tsolova; Editing by Mark Potter)
((tsvetelia.tsolova@thomsonreuters.com; +359-2-93-99-731;))