Russia's gas giant Gazprom and Croatia's gas transmission system operator Plinacro are to sign a plan of activities on Thursday on a project for a branch line of the future South Stream gas route passing through Croatia, which is to be constructed from 2013 to 2016.
By concluding that agreement, the two companies will reaffirm their mutual interest and joint participation in the South Stream gas network, according to a report from Plinacro.
The signing of this document was announced on Wednesday after Croatian Economy Minister Ivan Vrdoljak held talks with Gazprom's top executives in Zagreb.
The construction of a 100-kilometre-long two-way branch line with an annual capacity of 2.7 billion cubic metres of gas will connect the transmission systems of Croatia and Serbia, through which the main route of the South Stream is to pass. According to some earlier announcements, this secondary line will cost 60 million euros.
In early December 2012, Russia formally launched works on the South Stream project, a proposed gas pipeline to transport Russian natural gas through the Black Sea to Bulgaria and further to Italy and Austria. This route bypasses Ukraine which has so far been the main transit country for Europe-bound Russian gas supplies.
The South Stream pipeline construction is estimated to cost EUR 16.5 billion, and this pipeline is expected to annually transport 63 billion cubic metres of natural gas from Russia to Europe.
