Bulgaria Enters 'South Stream' Project
Updated on: 18.01.2008, 12:48
Published on: 18.01.2008, 10:55
The agreement for the “South stream” project will be signed today by the Bulgarian minister of economy and energy Peter Dimitrov.
Bulgaria has defended to a maximum level its interests, claimed Prime minister Stanishev after the project was discussed and adopted during an exclusive session of the government.
Russia agreed to an equal in rights participation of Bulgaria in the company on the “South stream” project.
Most probably the main talks were held yesterday late night after the arrival of president Putin in Bulgaria.
Two days ago I thought that the agreement will not be signed during the visit of the Russian president due to the remaining unsolved questions said the Bulgarian prime minister and added that in the last two days intensive and constructive negotiations were carried on the draft agreement.
One of the key questions on which there were differences and which is already settled was about the share proportion in the ownership of the company of the South Stream project. An agreement has been reached the proportion to be 50-50, informed Stanishev.
This is an agreement for a company, set on Bulgarian territory and Bulgargas will be invited to participate on equal terms.
Bulgaria will have a real influence in the decision-making, because the Bulgarian side cannot be neglected after the agreed proportion, claimed Stanishev and stressed on the personal contribution of the Russian president for the achieving of this result.
The prime minister pointed out that the signing of the “South stream” project was of strategical interest for Bulgaria because it diversified the roads for energy supplies and gives higher importance of Bulgaria on the European energy map.
Minister Dimitrov informed that through its participation Bulgargas will probably invest 200 M EUR and the expected investment of the company are around 700 M EUR.
The norm of the profit will be such as to secure returns of the investment in 15 years, added Dimitrov.
Sergei Stanishev claimed that the total investment on the project was expected to be around 1.4 bln EUR depending on the route and 220 M EUR were expected only from the VAT.