Standart News: Bulgaria freezes South Stream loan negotiations

The Bulgarian Energy Holding unexpectedly put the decision whether to receive a EUR 620 million loan from Gazprom for the construction of the South Stream pipeline on hold.

The BEH had planned to secure additional financing for the South Stream Bulgaria project, which is a joint venture with Russian energy concern Gazprom.

BEH's decision to put off the loan coincided with severe criticism from President Rosen Plevneliev regarding the fact that the project had not been suspended despite Prime Minister Plamen Oresharski's commitment to do so until the conflicts with the EC on this issue are resolved. Previously the EC warned that infringement proceedings against Bulgaria had been initiated due to non-compliance of the Bulgarian section with the EU's Third Energy Package.
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