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Bulgaria, Russia Agree to Create South Stream Working Groups

Date: 29.09.2009

Bulgaria and Russia have agreed to create common working groups to prepare details of the South Stream natural gas pipeline project. The agreement was announced after Bulgaria Economy, Energy and Tourism Minister, Traicho Traikov, and Russia Energy Minister, Sergey Shmatko, held talks in Sofia on Friday regarding the future of the South Stream, Belene NPP and Bourgas - Alexandroupolis pipeline projects.

With regard to the South Stream, Russia and Bulgaria have agreed to establish two joint working groups, one of which will work on the terms of the shareholders' agreement of the project company for the project, while the other will work on preparing the guidelines for the tender for a feasibility study, Traikov announced.

He continued that "for the Belene nuclear power plant we also reached a common understanding that the project has so far been led in a way that was not beneficial to its success and that now we need a clear and transparent financing structure - this is what we will do from now on."

"We are starting this process, by the end of it we will have a clear position on what part of the project we want to keep and what will be presented to interested investors. Russian companies will not be discriminated against in the process." Traikov concluded.

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