Bulgaria may delay signing an agreement to operate a pipeline for carrying Russian natural gas under the Black Sea to European Union nations, Energy and Economy Minister Petar Dimitrov said.
Bulgaria and Russia are disputing ownership of the asset, he said in an interview with Bulgarian state television Channel 1 Wednesday. The pipeline would be laid from Russia and split in Bulgaria into a northern route, going to Austria via Romania and Hungary, and a southern route, crossing the Balkan peninsula to Italy.
The countries had planned to sign the deal during Russian President Vladimir Putin’s visit to Bulgaria on Jan. 18.
“It is possible that we might not sign the agreement at the end of the week, and that talks will continue during the Russian president’s visit,” Dimitrov said Wednesday. “We would like to guarantee some economic benefit for the state from this pipeline. The talks are difficult.”
The so-called South Stream pipeline would be built by OAO Gazprom, the world’s biggest natural gas company, and Eni SpA of Italy. Russia’s Gazprom wants a southern underwater link to cut reliance on transit countries and boost its export capacity.
Officials from Bulgaria and Russia are holding talks with representatives of Gazprom and Bulgarian state-run natural-gas distributor Bulgargaz AD.
Dimitrov outlined two options, which were being negotiated with Gazprom. One option envisages Bulgaria having ownership of the pipelines passing through the country and participating in its profit. The other option would allow Russia to keep ownership of the pipelines and pay transit fees, Dimitrov said.
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