BAKU, Azerbaijan, June 7. Bulgartransgaz, a Bulgarian state gas operator, has signed two contracts worth nearly 485 million leva (about $269.6 million/248 million euros) with the consortia Hill International and Glavbolgarstroy (GBS) to expand infrastructure for the Vertical Gas Corridor, which runs from Greece to Northern Europe through Bulgaria. Trend reports via the Bulgarian Cabinet of Ministers.
In May 2024, Bulgartransgaz announced tenders for the expansion of the Vertical Gas Corridor, which included territorial planning, investment design, supply of materials and equipment, as well as the construction and commissioning of new facilities at the connection points Kulata-Sidirokastro and Negru Voda-Kardam.
The Hill International and GBS won two of the three tender lots.
The DZZD Negru Voda Kardam 2024 consortium, consisting of Divicom, an American engineering solutions provider, and Habau, a Romanian construction company and SA.I.E, a local company, was selected to construct the gas pipeline from Piperevo to Pernik.
To note, in 2016, Greece, Bulgaria, Romania, and Hungary agreed to develop infrastructure for the Vertical Gas Corridor, enabling bilateral gas transportation among the participating countries.
Ukraine, Moldova, and Slovakia joined the initiative in January 2024.
"The signed contracts mark the beginning of efforts to increase gas transportation capacity between Greece and Bulgaria, as well as between Bulgaria and Romania. Once construction is completed, Bulgaria's gas transportation infrastructure will be able to deliver additional volumes of liquefied natural gas (LNG) from sources such as the US, Egypt, and possibly Azerbaijan (LNG from SOCAR Trading),” stated the press release.
Bulgarian Prime Minister Dimitar Glavchev asserts that the joint initiative by the gas transportation operators of Bulgaria, Greece, Romania, Hungary, Slovakia, Ukraine, and Moldova ensures long-term energy security by diversifying supply sources.
"With the anticipated cessation of Russian gas transit through Ukraine from 2025, the Vertical Gas Corridor could become a crucial infrastructure for Europe's energy stability," he said.
Stay up-to-date with more news at Trend News Agency's WhatsApp channel