• 3 minutes "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 9 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 3 days GREEN NEW DEAL = BLIZZARD OF LIES
  • 12 hours "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 12 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 1 day Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 2 days Energy Armageddon
  • 6 days "Forget Oil, The Real Crisis Is Diesel Inventories: The US Has Just 25 Days Left" by Zero Hedge - 5 Stars *****
  • 3 days Is Europe heading for winter of discontent with extensive gas shortages?
  • 6 days "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 6 days The Federal Reserve and Money...Aspects which are not widely known
  • 6 days "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 13 hours Wind droughts
  • 7 days Goldman Betting on Cryptocurrencies
  • 10 days Сryptocurrency predictions

Bulgaria Bows To EU, Halts Work On South Stream

Bulgaria says it has not given up on the South Stream pipeline even though it has agreed to a request from the European Commission to stop work on the project for now.

Bulgarian Prime Minister Plamen Oresharski ordered the work stoppage on the Gazprom-led project on June 8 after meeting with U.S. Sens. John McCain (R-AZ), Christopher Murphy (D-CT) and Ron Johnson (R-WI).

The $45 billion pipeline’s southerly route would bypass Ukraine, through which some 30 percent of gas destined for EU countries flows from Russia. State-owned Gazprom holds a 50 percent stake in the project.

Disputes between Kiev and Moscow over gas payments interrupted pipeline flows through Ukraine in 2006 and 2009, and Moscow has threatened to do the same if Kiev doesn’t pay overdue gas bills worth billions of dollars.

The European Commission withdrew its approval of South Stream construction in March after Russia annexed Ukraine’s Crimean peninsula. The EC also said Sofia had violated EC internal market rules concerning the awarding of public contracts.

Construction on the pipeline is being led by Russian engineering company Stroytansgaz, which is on a U.S. list of companies and individuals subject to economic sanctions as a result of Russia’s actions in Ukraine.

Despite the work suspension, Bulgarian Energy Minister Dragomir Stoynev said June 9 that the completion of the South Stream gas pipeline is “irreversible.”

Related Article: The Dangers Of Doing Business With Putin’s Russia

Stoynev, traveling in China, shrugged off the dispute. “If we look at the situation strategically and without emotions. The South Stream project looks irreversible and important for both Europe and Bulgaria,” he said. “I am convinced that all pending issues will find a solution.”

Russia denounced Bulgaria’s decision to suspend work on South Stream, saying it was choosing to side with the EU despite its long relationship with Russia. Vladimir Chizhov, Russia’s EU envoy, said June 9 in Moscow, “It is hard to shake off the feeling that the European Commission's blocking of the start of work on the construction of Bulgaria's key section of South Stream has been done for purely political purposes.”

The move is having an effect beyond Bulgaria’s borders. Serbia has also suspended work on the part of the pipeline that transits its territory. Belgrade said it could not continue work while construction in Bulgaria is stalled.

Serbia’s Deputy Prime Minister of Transport Zorana Mihailovich said June 9, “Until Bulgaria finishes negotiations with Brussels and the European Union and Russia, the project is suspended. Or until Russia changes the route. Either way ... there will be a delay in construction in our country.”

The pipeline’s scheduled completion date is 2018.

By Andy Tully of Oilprice.com



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News