Serbia's state gas firm, Srbijagas, will sign a basic agreement with Russian gas giant OAO Gazprom (GAZP.RS) Thursday to develop a section of the South Stream pipeline, the Serbian company said Tuesday.
Srbijagas' Dusan Bajatovic and Gasprom's Alexei Miller will on Thursday "sign a basic agreement on forming a joint company within the framework of the South Stream gas pipeline project," Srbijagas said on its Web site.
The South Stream project aims to carry Russian and Caspian gas to Western Europe via a pipeline under the Black Sea, landing in Bulgaria and bypassing Ukraine.