site.btaBulgartransgaz Obtains EUR 200 Million Bank Loan for Balkan Stream Pipeline

ESD 13:09:31 23-10-2019
SN1305ES.107
107 ECONOMY - GAS PIPELINE - FINANCING

Bulgartransgaz Obtains
EUR 200 Million Bank Loan
for Balkan Stream Pipeline


Sofia, October 23 (BTA) - Bulgartransgaz has obtained a bank loan for 200 million euros for constructions works of the Balkan Stream pipeline, the company said Tuesday, reporting the successful completion of the borrowing procedure.

The money will be used for advance payments to the companies working on the project, Arkad Consortium and Ferrostaal Balkangas.

The EUR 200 million loan is secured by means of six-month US dollar deposits which can be extended by another six months.

Bulgartransgaz said it already has signed agreements with major financial institutions, including Citibank Europe, ING Bank, UniCredit BulBank, and the International Bank for Economic Cooperation.

The advance payment to Arkad Consortium which is already building the pipeline amounts to 250 million leva and 50 million leva VAT, and to Ferrostaal Balkangas which is building the two gas compressor stations, Rassovo and Nova Provadia, 140 million leva and 28 million leva VAT. LN/ZH