Seven candidates vie to build Bulgarian South Stream stretch

South Stream Bulgaria has received seven letters of interest from consortia willing to take part in the design and construction of the Bulgarian stretch of the South Stream gas pipeline, estimated at US$ 4.73 billion.

The procedure to select a contractor for construction was opened on 31^st October, 2013. The candidates were given a deadline of 3 pm on 15^th November to submit letters of intent to participate in the tender.

Although the company did not disclose the names of the candidates for Bulgaria's largest-scale project, the consortia brings together Russian, German, Austrian and Turkish companies. Russian company Stroytransgaz, a key partner of energy giant Gazprom, has been mentioned as a possible candidate.

The procedure

The procedure will be held in two stages. The selection stage will entail evaluation of the candidates based on the basis of their compliance with the tender criteria. The approved companies will then be given tender documents and will be able to file bids. The deadline for the two stages has not yet been specified.

Scope of the project

The contractor is to build the terminal at the Black Sea beach Pasha Dere near Varna, which will connect the land section of the South Stream gas pipeline to its sea section. In addition, the contractor will construct a 540 km pipeline section to the Serbian border, a 60 km digressing pipe to the compressor station at Provadia, and three compressor stations near Varna, Lozeon and Rasovo.

South Stream, initiated by Russia's Gazprom and Italy's Eni, aims to diversify gas routed within the European Union and to provide stable gas supplies from Russia to central and southern Europe. South Stream is planned to go on stream by the end of 2015, with a pipeline of a capacity of 63 billion m³/year.

Edited from various sources by Hannah Priestley-Eaton

Read the article online at: https://www.worldpipelines.com/business-news/19112013/seven_candidates_vie_to_build_bulgarian_south_stream_stretch/