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Gazprom Eni, EdF and Wintershall Sign Agreement on South Stream

The Russian company is to receive 50% of shares in the project, while EdF and Wintershall are to get 15% each, and ENI – 20%.

The Russian company Gazprom, the French EdF, the German Wintershall and the Italian ENI have signed the shareholder’s agreement on the South Stream. In accordance with the contract the French EdF and the German Wintershall are to get 15% each in the South Stream project. The share of the Italian ENI will comprise 20%, and Gazprom is to own 50% of shares.

The South Stream is a Russian-Italian-French project of a gas pipeline which is to be laid on the bottom of the Black Sea from the port of Dzhubga to the Bulgarian port of Varna. The further route of its two lines will go via the Balkan Peninsula to Italy and Austria although the exact routes of the two lines have not been confirmed yet. According to the plans the gas pipeline is to come into operation by 2015.

The planned capacity of the South Stream is 63 billion cubic meters of gas per year. The estimated cost of the project is 8.6 billion euro.

The intergovernmental agreements with Bulgaria, Serbia, Hungary, Greece, Slovenia, Croatia and Austria necessary for the project execution have already been signed. At present the composite feasibility analysis is being developed.

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