Bulgaria and Turkey will sign a political agreement to build a cross-border gas pipeline, thus declaring the strategic importance of this project to both states, Bulgaria's Energy Ministry said on November 19 2011.

The move was agreed at a meeting of Bulgaria's Energy Minister Traicho Traikov and his Turkish counterpart Taner Yildiz in Istanbul during the Black Sea Energy and Economic Forum.

Traikov and Yildiz discussed the results of the work of an expert group, which is assessing the technical and commercial aspects of gas deliveries through Turkey to Bulgaria.

The gas inter-connector linking the two countries, together with the pipeline connecting Bulgaria with Greece, will guarantee supplies of Caspian natural gas to the country and the region, as well as cheaper deliveries by using a terminal for liquefied natural gas.

The scheme will provide for diversifying suppliers and routes, competition between suppliers and lower prices for gas deliveries to Bulgaria, Traikov said.

The 77km pipeline linking Bulgaria and Turkey will have the capacity to transport between one and three billion cu m of gas a year, with an option to double it. According to Traikov, the required investment will be relatively low, but the benefits for the country and the region will be significant.

Building inter-connectors with Turkey and Greece will open the gas corridor that will bring Caspian gas from Asia to Europe. As such, it is important to assure companies through this political agreement that this project is strategic for the two governments and will be implemented within the next two years, Traikov said.

In turn, the Turkish minister informed Traikov about a package of agreements arranging gas transit between Turkey and Azerbaijan.

Both ministers agreed to accelerate the signing of a bilateral agreement for emergency supplies of gas from Turkey to Bulgaria through the existing transit route.