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Gazprom Plans Agreement with Greek DESFA On South Stream

07 June 2010 12:13 (UTC +04:00)

Baku. Nijat Mustafayev â€“ APA-Economics. Deputy Chairman of the Management Committee, Director General of Gazprom export Alexander Medvedev and DESFAâ€™s chairman Georgeus Paparsenos signed an agreement for the construction of the Greek section of the South Stream pipeline, today in Moscow,

According to the clauses in the contract, Gazprom and DESFA will establish, on a parity basis, a new company in Athens, which will be responsible for the construction and exploitation of the Greek section of the pipeline. The value of the section is estimated at EUR 1 billion.

Greece joined the South Stream pipeline project in 2008. South Stream should transport gas from Novorossiysk, under the Black Sea, to the Varna port in Bulgaria, after which it will continue to Austria, Hungary, Greece, Serbia, Slovenia, and Croatia. It is supposed to start functioning in 2015, as its capacity will be up to 63 billion cubic metres a year.