IN less than a fortnight after the posting of an official invitation, the Ministry of Regional Development and Public Works (MRDPW) announced the eligible candidates for the construction of the Bourgas - Alexandroupolis oil pipeline.
The 33 per cent stake, allotted to Bulgaria, will be distributed among eight companies.
Glavbolgarstroy, Gasstroy-montaj, Holicon, LUKoil Bulgaria, Magnum-07, Interneft-gasmontazhi, Chimremontstroy and Minstroy Holding will comprise the consortium that will be put up for approval and entered into the trilateral agreement among Bulgaria, Russia and Greece. The agreement is expected to launch the project that would make the pipeline the outpost for large volumes of Caspian oil reserves to the Mediterranean region and Europe.
The local construction and engineering companies are yet to agree on their stakes after a special meeting with acting Minister of Regional Development and Public Works Hassan Hassan that is to be scheduled by the end of the week. On Monday, he warned that regardless that freedom would be allowed in stake allocation, the companies would be prevented from having a majority stake in the consortium in view of the anti-monopoly cause put up at previous trilateral meetings.
Bulgarian constructors were let to join one of the most promising international projects after passing criteria such as Bulgarian registration, financial capability and experience in construction, project development and exploitation of such facilities. Special attention was paid to recommendations by authoritative bodies attesting of such experience, as well as the ability to join the 280 million euro investment attached to the 33 per cent stake.
In view of the expected high traffic and the high-margin power product to be run through the future facility, appetites for the stake are especially keen. The 228km long pipeline largely runs across the Bulgarian territory and preliminary investigation showed that the facility would be used in full capacity to transport large volumes of Caspian oil reserves to satisfy European demands.
The large players proposed for participation by Russia and Greece attests to the high interest in the project. Although official stakes have been evenly distributed, behind the curtains play is still underway, sources close to the matter say. Although Russia will officially be represented by major energy players in the region Transstroygas and Yukos, LUKoil will look out for a chunk of the pie via its Bulgarian arm LUKoil Bulgaria. As to Greece, winners of their domestic tender have been DEP Traki and Hellenic Petroleum. However rumours, disclosed by sources close to the matter, saw the MG Corporation poised to get a larger stake in the Bulgarian consortium via one of its strategic ownerships, Minstroy. Sources said that in the event of taking a large chunk , the company planned to sell this stake at a large profit to Greek companies.
The trilateral agreement on the pipeline project is expected to be signed on December 3 in Athens.
The 33 per cent stake, allotted to Bulgaria, will be distributed among eight companies.
Glavbolgarstroy, Gasstroy-montaj, Holicon, LUKoil Bulgaria, Magnum-07, Interneft-gasmontazhi, Chimremontstroy and Minstroy Holding will comprise the consortium that will be put up for approval and entered into the trilateral agreement among Bulgaria, Russia and Greece. The agreement is expected to launch the project that would make the pipeline the outpost for large volumes of Caspian oil reserves to the Mediterranean region and Europe.
The local construction and engineering companies are yet to agree on their stakes after a special meeting with acting Minister of Regional Development and Public Works Hassan Hassan that is to be scheduled by the end of the week. On Monday, he warned that regardless that freedom would be allowed in stake allocation, the companies would be prevented from having a majority stake in the consortium in view of the anti-monopoly cause put up at previous trilateral meetings.
Bulgarian constructors were let to join one of the most promising international projects after passing criteria such as Bulgarian registration, financial capability and experience in construction, project development and exploitation of such facilities. Special attention was paid to recommendations by authoritative bodies attesting of such experience, as well as the ability to join the 280 million euro investment attached to the 33 per cent stake.
In view of the expected high traffic and the high-margin power product to be run through the future facility, appetites for the stake are especially keen. The 228km long pipeline largely runs across the Bulgarian territory and preliminary investigation showed that the facility would be used in full capacity to transport large volumes of Caspian oil reserves to satisfy European demands.
The large players proposed for participation by Russia and Greece attests to the high interest in the project. Although official stakes have been evenly distributed, behind the curtains play is still underway, sources close to the matter say. Although Russia will officially be represented by major energy players in the region Transstroygas and Yukos, LUKoil will look out for a chunk of the pie via its Bulgarian arm LUKoil Bulgaria. As to Greece, winners of their domestic tender have been DEP Traki and Hellenic Petroleum. However rumours, disclosed by sources close to the matter, saw the MG Corporation poised to get a larger stake in the Bulgarian consortium via one of its strategic ownerships, Minstroy. Sources said that in the event of taking a large chunk , the company planned to sell this stake at a large profit to Greek companies.
The trilateral agreement on the pipeline project is expected to be signed on December 3 in Athens.
