prime minister boyko borissov`s presentation at the meeting of the

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Transcript prime minister boyko borissov`s presentation at the meeting of the

INITIATIVE FOR GAS HUB CREATION IN SOUTH EASTERN EUROPE SOFIA, 09.02.2015 г.

Domestic production Fgreat Britain Denmark Holland Norway North Sea Russia ЕС 32 % Share of Russian Gas Russia 56 % Share of Russian Gas Domestic production Potential Domestic fields Black Sea LNG LNG

Дял на вноса на газ от Русия спрямо общото потребление по държави за 2013 г Gas import from Russia by states for 2013, bcm/y Romania 1,10 Italy 24,90 Slovakia 5,30 Share of the gas import from Russia toward the total consumption by states for 2013

100,0% 90,0% 80,0% 70,0% 60,0% 50,0% 40,0% 30,0% 20,0% 10,0% 0,0% Slo va kia Bu Cz lga ec ria h Re pu blic Slo ve nia Hu ng ar y Gr ee ce Au st ria Po lan d Se rb ia Ita ly Ro m an ia Cr oa tia

Serbia 1,15 Czech Republic Poland 9,60 Внос на газ от Русия по държави за 2013 г., bcm/y 7,20 Hungary 5,90 Austria 5,10 Greece 2,40

BULGARIA KEY FACTOR ON THE REGIONAL GAS MARKET

• •

The geographic location of Bulgaria defines it as a strategic partner Well designed national gas infrastructure

• •

Well balanced national transit system related with underground gas storage capacity Exploration of Oil and gas fields in the region

• •

Low domestic consumption - spare capacity for transit Transparent public procurement procedures and construction at fair prices

• •

Long and short term capacity Bulgaria will use gained European experience in the development of trading platforms

• •

Unified system for managing gas flows , previously agreed with the European gas partners Investment opportunities - estimated investment costs Euro 2.2 billion

NCG+ Gaspool PSV BAGA CEGH LNG CS Chiren Domestic Southern Gas Corridor

Central Europe 1 a 1 b Zajčer 42,6 bcm/y IBS, 1,8 bcm

CS

BULGARIA – GAS HUB

Oriahovo 42,6 bcm/y 21,1 bcm intermittennt 0 bcm Romania Domestic (Black Sea) 2 bcm/y 1,5 bcm

CS NV 2, 3

New UGS CS 2, 130 MW CS 1, 130 MW

CS NV 1

Bulgaria Domestic (Black Sea 2 bcm/y

CS V.Dol

3,3 bcm/y (Bulgaria)

CS P. Senovets CS Provadia VARNA GMS CS Lozenets

South Stream 63 bcm

GMS

BG Domestic (Black Sea, Future

CS Strandja

0,8 bcm/y

CS Petrich

20 bcm/y 3 bcm/y IGB, 3 bcm TAP LNG ITB, 3 bcm TANAP LNG

Necessary infrastructure on the territory of Bulgaria – preliminary estimate

Modernization of the existing infrastructure • Increase of the capacity of CS Strandja with 10 MW • Construction of Lozenets – Rupcha loop – 50 km.

• Construction of 20 кm. Gas pipelines • Modernization and expansion of the North semi-ring ~ 272 кm.

Construction of new infrastructure • ~ 844 кm. pipelines • 2 compressor stations with total installed capacity of 265MW (in the regions of the city of Levski and City of Provadia) • Construction of a receiving terminal Estimated investment costs • EUR 2 200 million – new infrastructure • EUR 140 million – Modernization and expansion of the Northern semi-ring Additional storage capacity • Chiren UGS expansion • Construction of new underground storage facility

GAS HUB – PILOT PROJECT FOR ENERGY UNION

• Key mechanism to improve security of gas supply to Europe - a key objective of the European Energy Union, enhancing the negotiating power of the EU and its economic partners vis-à-vis the external gas suppliers • Key project for the implementation of the Internal energy market - to overcome the energy dependence of the region of Southeast Europe, liberalization by creating a competitive gas market in compliance with EU legislation. Improving

trans-border grid.

• Gas infrastructure, securing the Member States with natural gas at a competitive price, energy-efficient, environmentally friendly energy source - improving energy efficiency. Energy Union should be designed to maximize the benefits of energy efficiency and managing demand.

• In addition to energy efficiency, gas infrastructure allows reducing emissions in comparison to production from coal

power plants alongside with this Bulgaria has achieved its targets for renewable energy sector.

Modernization of the gas transmission network will allow the use of innovative new technologies, switching to automatic control mode and well balanced transmission system.

INITIATIVE FOR GAS HUB CREATION IN SOUTH EASTERN EUROPE THANK YOU FOR YOUR ATTENTION !