Russia and Greece have agreed to speed up implementation of the Burgas-Alexandrupolis and South Stream projects, Greek Development Minister Christos Folias said Friday following a meeting with Russian Deputy Energy Minister Anatoly Yanovksy, news agency Prime-Tass reported Friday.
The Burgas-Alexandrupolis project encompasses construction of an oil pipeline that will transport Russian oil from the Bulgarian port of Burgas on the Black Sea to the Greek port of Alexandrupolis for further shipment to foreign markets. Construction of the pipeline is expected to start in 2009. The pipeline's annual throughput capacity is expected to amount to 35 million metric tons of oil and it may be increased to 50 million tons in the future. Russia holds 51% in the project, while Greece and Bulgaria each hold 24.5%.
The South Stream pipeline is expected to be built by Russian natural gas giant OAO Gazprom (GAZP.RS) and Italian energy company Eni SpA (E). It will transport Russian and possibly Central Asian gas to Europe under the Black Sea. The pipeline is expected to transport up to 30 billion cubic meters of gas a year and is scheduled to be launched in 2013. Russia reached an agreement with Greece in April to build the pipeline.