The first 11 km from the “Balkan Stream” route on Bulgarian territory were completed and led into exploitation by “Bulgartransgaz” EAD

“Bulgartransgaz” EAD completed the first stage of the “Balkan Stream” route as part of the expansion of the gas transmission network from the Bulgarian-Turkish to CS Strandzha. The route includes GMS “Strandzha” and an 11 km long newly constructed gas pipeline. After a public procurement procedure, “DZZD GBS – Transgaz” has been chosen as Contractor for the planning, construction and exploitation of GMS Strandzha. The Contract was signed on 12 April 2018 and amounts to BGN 27.7 million without VAT. The planning, delivery and construction of the gas pipeline from the Bulgarian-Turkish to CS Strandzha amounts to BGN 47.9 million without VAT and the Contractor is DZZD “Strandzha 2018”. The Bulgarian transmission system operator is funding these projects through its own funds. According to the Executive Director of Bulgartransgaz, the project which is being led into exploitation today is fundamental to the Balkan Gas Hub.

The Bulgarian Prime Minister Mr. Boyko Borissov, the Deputy Prime Minister Mr. Tomislav Donchev, the Minister of Energy Mrs. Temenuzhka Petkova, the Deputy Minister of Energy of Saudi Arabia Mr. Aabed Abdullah Al-Saadoun, the Ambassador of the Russian Federation in Bulgaria Mr. Anatoliy Makarov, the State Secretary of Information and International Representation of Hungary Mr. Tamas Menczer, representatives of the local authorities and Members of Parliament all took part in the opening ceremony.

“We proved that we can implement projects, through which we uphold the role of Bulgaria on the European gas map”, said the Executive Director of Bulgartransgaz EAD, Vladimir Malinov. He highlighted the fact that the investment amounting to BGN 75 million is fully covered by the gas company itself. In his words, the project is fundamental to the Balkan Gas Hub, which is a top priority for the Bulgarian government.

Later, official representatives inspected the construction works of the “Balkan Stream” route and the expansion of the gas transmission network from Nova Provadia to the Bulgarian-Serbian border. They visited the open construction site on the territory of Knezha, Oryahovo and Iskar. The gas pipeline route will pass through 11 districts – Varna, Shumen, Razgrad, Targovishte, Ruse, Veliko Tarnovo, Lovech, Pleven, Vratza, Montana, Vidin. In April 2019 Bulgartransgaz EAD chose Consortium “Arkad” for Contractor of the public procurement, and signed a Contract with them on 18 September 2019. The total amount of the signed Contract is EUR 1.1 billion without VAT for implementation of the activities with a deadline for completion of the works of 615 calendar days. Within 250 calendar days, аround 380 km from CS Polski Senovets to the Bulgarian-Serbian border will be constructed.

5 kilometres of the route have already been dug, while more than 6 kilometres of pipelines are ready to be laid. The cleared track for the construction site is 17 km.

The expansion of the existing transmission system and the realization of the Balkan Gas Hub concept aim to conserve the role of the Republic of Bulgaria as a leading gas trading and distribution hub in the region and the EU. The project for expansion of the gas transmission system – “Balkan Stream” is a priority for the Bulgarian government. Its realization aims to improve security of supply of gas from different sources and to enhance competition and transparency of the gas market, which in turn shall have a positive effect for natural gas consumers.