Bulgarian Energy Holding Puts Off Gazprom Loan on South Stream
Thursday, 24 July 2014
The Bulgarian Energy holding surprisingly decided to postpone a decision whether to receive a 620 mil euros from Gazprom for the construction of the South Stream pipeline.
BEH had planned to boost the capital of South Stream Bulgaria (a joint venture of the holding and Russian energy concern Gazprom) with the funds.
It had stressed it needed additional money to transfer the 10% (380 mil euros) of advanced payment to Stroytransgaz, a sum that the subcontractor involved in the construction is expecting under the signed agreements.
The 22-year loan will bear an interest rate of 4.25 percent.