The Slovenian stretch of the South Stream natural gas pipeline will cost about 1 billion euros ($1.34 billion), Delo newspaper reported, citing Marjan Eberlinc, the chief of Plinovodi d.o.o after his meeting with Alexey Miller, the CEO of OAO Gazprom in the capital Ljubljana.
Slovenia and the Russia’s gas export monopoly have agreed to share the cost by forming a joint company that is set to start building the pipeline by the end of the year, the Ljubljana-based newspaper said.
The Slovenian section of the South Stream will initially be able to carry 8 billion cubic meters of gas a year, which will later increase to 25 billion, according to Delo.
The South Stream project, which involves the Italian company ENI SpA (ENI), would build a pipeline across the Black Sea to ship Russian gas to Europe, bypassing transit countries.
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