site.btaUPDATED Bulgartransgaz Executive Director Malinov Says He Will Complete Chiren Gas Storage Expansion Project, Won't Resign

Bulgartransgaz Executive Director Vladimir Malinov said he would complete the project for expansion of the Chiren gas storage facility. "I am motivated by the resistance to its implementation. I do not believe that I should resign, and I will not resign," he told reporters.

Malinov called a news conference at Bulgartransgaz over a European Public Prosecutor's Office (EPPO) investigation into public procurement contracts for expansion of the Chiren facility. He said he would continue to fully cooperate with the European and Bulgarian prosecution authorities.

The investigation in question was launched in the summer of 2024. It concerns an alleged abuse of EU funds in the award of public procurement contracts for doubling the capacity and modernizing the Chiren underground gas storage in a BGN 600 million project.

"I have appeared at EPPO as a witness. I have not been summoned by EPPO as alleged. Last Friday, I was urgently admitted to hospital. On Monday (March 24), I informed EPPO that I was ill. On Wednesday, I provided a sick note from the hospital. This [Friday] morning, I submitted more documents: a sick leave certificate and a discharge summary, because I was discharged on Thursday. I have explicitly stated my willingness to cooperate in the proceedings," he said.

Malinov said that all the funds provided by the European Commission are in the company's accounts. "They have not been requested back and are at our disposal," he said.

No violations were committed during drilling in Chiren, still less crimes. The drilling contract was audited by the Public Financial Inspection Agency, and no violations were found, Malinov said. All actions of Bulgartansgaz related to the contract and its termination were carried out in accordance with the rules and Bulgarian legislation.

In his words, no funds have been spent under the contract, which was terminated in October 2024. All advance payments were recovered and are available in the company. Those payments were made from a loan issued by the Bulgarian Energy Holding, not with European Commission funds.

So far, two of the three components of the gas storage expansion project have been put into operation. On March 25, the storage facility's compressor and metering station were commissioned, increasing its capacity from 550 million cubic meters to 650 million cu m. There is a public procurement procedure for continuing the drilling. The involvement of European and US companies demonstrates trust in Bulgartrasngaz and the project, Malinov said.

He said that he had not been subject to any pressure about the implementation of the project from any political party. "I have worked with all parties, and I do not understand why this attack against me is happening. I have no information from the subcontractors about any pressure being exerted on them," he added.

Interviewed by Capital.bg and 24 Chasa on Thursday, European Prosecutor Teodora Georgieva said that she felt threatened by MRF-New Beginning Floor Leader Delyan Peevski and that he had pressured the contractors in the expansion of the Chiren gas storage facility. Later in the day, Peevski said he had nothing to do with this case and would refer the allegations to the prosecution service.