Three Russian companies have already received subcontracts for the construction of an extension of the Turkish Stream gas pipeline in Bulgaria. Moreover, the gas operator Bulgartransgaz is going to borrow money, including from the Russians, in order to complete the Balkan Stream, writes the Bulgarian Internet publication Mediapool.
The executive director of Bulgartransgaz, Vladimir Malinov, said that the company is currently negotiating with VTB SE Bank (a European subsidiary) on obtaining a loan for the implementation of the above and other projects. In July 2020, the company received 10 applications from Bulgarian and foreign banks for a total of EUR 542 million. Initially, the company was looking for 400 million euros, but decided to use all the offered credit resources. Now all conditions are being agreed with financial organizations.
All contracts must be signed by the end of September. Payments will begin towards the end of 2020 upon completion of the work. By this time, the first phase of construction of most of the 474-kilometer gas pipeline is expected to be completed.
In addition to the Russian VTB branch, contracts will be signed with ING Bank NV, Citibank Europe, Raiffeisenbank Bulgaria, Unicredit Bulbank, United Bulgarian Bank, DSK Bank, Eurobank Bulgaria, a consortium of the Bulgarian Development Bank, the Municipal Bank and the International Investment Bank, as well as the International Bank economic cooperation. In IBEC, registered in Moscow, Bulgaria owns 7,56% of the bank's capital or 15,1 million euros.