Bulgaria’s Council of Ministers decided at a special session to approve the draft agreement with Russia for the South Stream gas pipeline.

Negotiations had been held until late at night on January 17, Prime Minister Sergei Stanishev said. He added that a deciding role had been played by visiting Russian president Putin.

In its session on January 18, Cabinet authorised Economy and Energy Minister Petar Dimitrov to sign the agreement, Focus news agency said.

Bulgaria and Russia will establish a joint company for the part of the pipeline which will pass through Bulgaria. The company would be registered in Bulgaria. The two countries will each hold 50 per cent of the shares in the company.

Bulgaria would receive additional gas under the agreement.