Bulgaria has agreed to a gas pipeline deal with Russia that is expected to strengthen Moscow’s grip over energy supplies to Europe. The Bulgarian cabinet has agreed to allow the planned South Stream pipeline to pass through the country on its way from the Black Sea to southern Europe. The South Stream project is seen as a rival to the planned Nabucco pipeline, which is backed by the EU and the US. Gazprom and the Italian firm, ENI, are jointly developing the South Stream gas scheme, said to be worth EUR 10 billion. The 900km pipeline is expected to take Russian gas under the Black Sea and overland across Bulgaria to markets in southern Europe. Russia has offered to site a major gas hub in Serbia, a traditional ally. Bulgaria had also received an offer from the US and EU to join the rival Nabucco project. Nabucco envisages bringing Central Asian gas through Bulgaria to Europe, in a move intended to reduce Europe’s reliance on Russian resources.
