MILAN – The South Stream Transport board of directors has adopted the final investment decision for the offshore gas pipeline section. The board includes representatives from Gazprom, Eni, EDF, and BASF.
Construction will start next month on the South Stream gas pipeline that will travel under the Black Sea from the Russkaya compressor station to the Bulgarian coast. The total length of the Black Sea section will be more than 900 km (559 mi) at a maximum depth of more than 2 km (1.2 mi).
The pipeline is scheduled to start production in 2015, and eventually transport up to 63 bcm/yr. It will go from Russia to reach Bulgaria, Serbia, Hungary, Slovenia, Austria and Italy in one leg, and Croatia and Greece in a second leg.
Gazprom holds a 50% stake in the project, with Eni 20%, and Wintershall and EDF 15% each.
Alexei Miller, Gazprom’s chief executive, said: “South Stream’s contribution into providing Europe with energy security is very significant. It allows us to create alternative and secure natural gas supply routes to our consumers."