Designer of South Stream’s Hungarian section towards Baumgarten to be selected before late October
Budapest hosted today a working meeting between Alexey Miller, Chairman of the Gazprom Management Committee and Viktor Orban, Prime Minister of Hungary.
The talks were focused on the issues of reliable and uninterrupted gas supplies in the coming winter period. The parties paid special attention to the implementation of the South Stream project and noted that it was progressing to schedule.
At present, a bidding procedure is underway in Hungary for selecting a contractor to carry out design & survey activities, spatial planning and environmental impact assessment (EIA) for South Stream's Hungarian section towards Baumgarten in Austria. The designer will be selected before the end of October 2014. Hungary will receive first gas via the gas pipeline in early 2017.
South Stream is Gazprom's global infrastructure project aimed at constructing a gas pipeline with a capacity of 63 billion cubic meters to Southern and Central Europe for the purpose of diversifying the natural gas export routes and eliminating transit risks. The first gas will be supplied via South Stream in late 2015. The gas pipeline will reach its design capacity in 2018.
South Stream in Hungary is constructed on the basis of an intergovernmental agreement between Russia and Hungary. The gas pipeline was granted the status of a national significance project in the country. South Stream Hungary, joint project company established on a par by Gazprom and MVM is constructing South Stream in Hungary. In 2013 Gazprom and MVM approved the Action Plan regarding the implementation of the South Stream project in Hungary until 2017.
On April 29, 2014 Gazprom and OMV signed the Memorandum of Intent to construct the Austrian section of South Stream with an annual capacity of up to 32 billion cubic meters and the end point in Baumgarten.
In 2013 six billion cubic meters of Russian natural gas were supplied to Hungary.