On the closure of the project “South Stream” the head of “Gazprom” Alexei Miller told a news conference following Russian-Turkish summit talks, which took place in Ankara. He also said that Moscow and Ankara have reached an agreement on the construction of a new gas pipeline across the Black Sea, with a capacity of 63 billion cubic meters of gas a year.
«Today signed a memorandum of understanding with” BOTAS “on the construction of the offshore gas pipeline across the Black Sea to Turkey of 63 billion cubic meters of gas a year, “- he said. Miller also said that Turkey needs of this amount will go about 14 billion cubic meters, and the rest of the amount will be sent to the border of Turkey and Greece.
Talking about the price of gas for Turkey, Miller said that in the long term it can reach the level of the price of Russian gas to Germany. “With the development of cooperation, deepen it, I think that we will be ready to further reduce the price [for Turkey]. I think that as the implementation of joint projects, including in the gas transportation sector, we can say that the price level for Turkey has the potential to reach the level of prices, which today is Germany “, – said the head of” Gazprom ” .
For a new project for the construction of a gas pipeline to Turkey “Gazprom” will establish a legal entity, and the company is ready to consider entering into this Turkish partners, Miller added. “We are ready to discuss with the Turkish side on the issue of their entry, if there is interest. Legal entity for the implementation of this project will be created in the Russian Federation, then now the founder of the legal entity will make the company “Gazprom”, – he said.
Earlier, speaking on the outcome of talks with President Recep Tayyip Erdogan Vladimir Putin said that folding works on “South Stream” was a forced decision. “Given the fact that we still have not received permission from Bulgaria, we believe that Russia under these conditions can not continue this project. We can not begin construction in the sea as long as we do not get permission from Bulgaria, “- he said.
Those m at least Russia, according to m President, does not abandon plans for delivery m gas to southern Europe bypassing Ukraine. «Taking into account the growing needs of Turkey, we are ready not only to expand the” Blue Stream “, but also to build another pipeline system to meet the growing needs of the Turkish economy. And if deemed appropriate, to create something on Turkish territory on the border with Greece and an additional so-called gas hub for consumers in southern Europe, “- Putin said.
« Taking into account the position of the European Commission, which is not conducive to the realization of this the project, taking into account the fact that we just got quite recently, permission from the relevant authorities in the Netherlands, although positive decision, but given the fact that we still have not received permission from Bulgaria, we believe that Russia under these conditions can not continue this project, “- Putin said.
Putin also suggested Bulgaria in connection with the demand from the EU compensation for loss of profit on the project” South Stream “. “If we are prevented from Bulgaria to behave as a sovereign state, then let them at least they will demand money from the European Commission for any losses of profits, because only direct budget revenues amounted to Bulgaria from the transit of at least 400 million euros a year,” – said the president of Russia.
The reasons obvious and hidden
Since 2012, “Gazprom” South Stream has funded nearly half – in the amount of $ 4.66 billion. Including the current the investments increased compared with the original plan by almost 80% – up to 135 billion rubles. But recently it became known that the cost of construction of the “South Stream” can be considerably expensive. The cost of the offshore section of the pipeline has risen from € 10 billion to € 14 billion, and the land area in Europe – from € 6,6 billion to € 9,5 billion. But the member of the board of “Gazprom” Vladimir Markov said then that even with the increase in the cost of “South Stream” is included in the parameters of the internal rate of return set by the company.
Despite this, November 25, Markov said that the construction of the offshore section of the “South Stream” is postponed. Causes – technical. he said, without specifying details. “All preparatory work completed to date, the start of construction is scheduled for December 15th. The pipeline will be built in those terms that have been agreed, “- said Markov.
During the construction of the” South Stream “from” Gazprom “have problems. associated with the divergence of positions with the EU, through which the pipeline was to be held. According to the position of the European Commission, the construction of the “South Stream” does not meet the standards. Thus, under pressure from the European Commission at the beginning of June 2014 of the decision to suspend the preparatory work on the project said the Bulgarian authorities. “The Ministry of Economy and Energy considers that the actions of the South Stream Bulgaria does not correspond to the interests of the Bulgarian Energy Holding, and intends to apply to law enforcement agencies,” – said in a statement the Bulgarian authorities. A few days earlier Bulgaria said that the project will be frozen as long as it does not conform to the standards approved by the European Commission.
«South Stream” – a global infrastructure project of “Gazprom” gas pipeline capacity of 63 billion cubic meters. m across the Black Sea to South and Central Europe. The first deliveries of gas through the pipeline should begin in late 2015. At full capacity it planned to withdraw in 2018. Offshore section of the pipeline, whose construction was delayed, will be held under the Black Sea from the compressor station “Russian” on the Russian coast to the Bulgarian coast. The total length of the Black Sea section will be 925 km, maximum depth – more than 2.2 km. Land plot of 1455 km long pipeline had to pass through Bulgaria, Serbia, Hungary and Slovenia.
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