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    IGB Tender Launched, 2020 Start Targeted

Summary

Developer ICGB has launched the most crucial part of tendering to ensure that the planned IGB gas interconnector to link Bulgaria and Greece is built.

by: Mark Smedley

Posted in:

Natural Gas News, Europe, Balkans/SEE Focus, Infrastructure, Pipelines, Interconnector Greece-Bulgaria (IGB) , News By Country, Bulgaria, Greece

IGB Tender Launched, 2020 Start Targeted

Developer ICGB, owned 50-50% by Bulgarian state BEH and Greek-registered IGI Poseidon, said April 30 it has launched the key tender for the construction of the planned IGB gas interconnector that will provide another link between Bulgaria and Greece. The planned 182-km, 32-in pipeline will be capable of flowing gas in either direction. IGI Poseidon is a 50-50 joint venture of Italy's Edison and Greek gas supplier Depa.

The contract has an estimated worth of some 145mn ($176mn); the project is to take 18 months to complete. 

The line will connect the Greek gas grid near Komotini and the Bulgarian gas grid near Stara Zagora. Its projected capacity is up to 3bn m3/yr from Greece to Bulgaria. However, depending on the interest from the market and the capacities of the neighbouring gas transmission systems, the pipeline may carry up to 5bn m3/yr, thus allowing physical reverse flow (from Bulgaria to Greece) with the additional installation of a compressor station.

Through a preliminary selection, ICGB said it will assess and determine candidates that have the required financial and technical capacity. The decision and the contract notice for the public procurement have been sent for publication to Bulgaria's registry of public procurement as well as to the EU's Official Journal on April 30 2018. The documents can also be seen at http://www.icgb.eu/buyers-profile/public-procurement-procedures/ at the 'buyer’s profile', said ICGB.

"IGB is a key and priority project for Bulgaria and Greece as well as a key element in the policy of both governments to diversify sources and routes of natural gas in the region. The launch of this procedure demonstrates in unequivocal and unambiguous way our commitment to the implementation of this project and is a sign that it is indeed in an extremely advanced stage, which creates conditions for the construction of the pipeline to start in the last quarter of 2018“, said Teodora Georgieva, ICGB executive officer on the Bulgarian side. "The launch of this procurement ensures the actual commencement of the construction of the pipeline and we expect entering into commercial operation in 2020,” added Konstantinos Karayannakos, ICGB executive officer on the Greek side.

A memorandum for cooperation between ICGB and Trans-Adriatic Pipeline (TAP) company has been signed concerning joint actions in relation to future connection between IGB pipeline and Trans-Adriatic Pipeline, said ICGB.