Linden Energy sees Bulgaria as primed for US LNG
US-based, but internationally focused Linden Energy said July 9 it was acquiring an interest in the Bulgarian gas sector with an eye on advancing US LNG interests overseas.
For undisclosed terms, Linden said it signed an agreement to take a 50% interest in Bulgarian gas trader Overgas, the largest privately-owned gas company in the country.
"In addition to our investment, Linden will take an active role in supporting Overgas' efforts to diversify the energy market in Bulgaria by adding other sources of natural gas, one possibility being US LNG," Linden president Stephen Payne said.
Linden is already committed to utilising 10% of the capacity on the Interconnector Greece-Bulgaria natural gas pipeline, due online in 2022. Payne said the agreement positions both Overgas and Linden to evolve from major Bulgarian gas players to major players across the greater Balkans region.
The interest in Overgas that Linden is acquiring was once held by Russia's Gazprom, but was repurchased by Overgas in December 2020 as part of a settlement deal.
The Balkans is situated in a region of geopolitical importance to both Western and Russian powers. The European Investment Bank (EIB) in May increased the EU's support for the construction of a gas pipeline between Bulgaria and Serbia with the issue of a €25mn ($30.5mn) loan.
Serbia already has a pipeline connection with Bulgaria, but this is used to receive Russian gas arriving in Europe via the TurkStream pipeline network.