Home
/
News
/

Gazprom signs shareholder agreement with three EU partners on South Stream

Gazprom signs shareholder agreement with three EU partners on South Stream

19 September 2011

Three European energy companies, France’s EdF, Italy’s Eni and Germany’s Wintershall signed a legal agreement with Gazprom to build the South Stream pipeline, which would bypass Ukraine by running under the Black Sea and into Bulgaria before going on to Greece, BBC reported on Friday. Gazprom will own 50% of the JV, Eni 20%, and both EdF and Wintershall will have 15% stakes. Construction is expected to begin in 2012, with gas expected to start flowing in 2015. An Eni chief executive quoted in the story said the underwater section alone was expected to cost USD 10 bln. The pipeline could have an annual capacity to transfer 63 bln m3 of gas. Last week Gazprom started pumping natural gas through the USD 10 bln Nord Stream subsea pipeline from Russia to Germany, which also bypassed Ukraine. Currently Ukraine transports 80% of Russian gas to the EU. Gazprom said it could divert up to 20 bln cubic from Ukraine’s transit route through Nord Stream, causing Naftogaz of Ukraine to lose around USD 600 mln in revenue from transit next year.

Latest News

News

23

02/2022

Separatists may claim entire territories of two Ukrainian regions

Russia has recognized “all fundamental documents” of the self-proclaimed Donetsk and Luhansk People’s Republics (DNR...

News

23

02/2022

U.K. to provide USD 500 mln loan guarantee for Ukraine as IMF mission starts

The British government is going to provide up to USD 500 mln in loan guarantees...

News

23

02/2022

MinFin bond auction receipts jump to UAH 3.5 bln

Ukraine’s Finance Ministry raised UAH 3.3 bln and EUR 7.2 mln (the total equivalent of...