Bulgarian lawmakers passed on the second reading the bill ratifying the proposed deal between Bulgaria, Greece and Russia to build and operate a 280-kilometre oil pipeline linking Burgas and Alexandroupolis.

The bill, which raised strong objections among centre-right lawmakers two weeks ago, who claimed the deal went against Bulgarian national interest and would also turn off tourists in the southern part of Bulgaria's Black Sea coast.

The bill was passed without any hitch on Wednesday, with 109 MPs voting in favour, 19 against, and three abstaining. Bulgaria's parliament has 240 seats.

Representatives of the three countries signed the deal in Athens in March, with Russia getting a controlling 51% in the company, while the other two countries will split the remaining stake equally.

The pipeline will bypass the congested Bosphorus straights and would transport mainly Caspian oil coming in from Russia's oil terminal at Novorossiysk.

The pipeline will have an initial annual capacity of 35 million tonnes, which could be later expanded to 50 million tonnes.

The longer stretch, 166 kilometers, will pass through seven municipalities in southeastern Bulgaria, the rest - through Greece.

Transit fees for the two countries will be set out in a separate treaty. The costs of building the pipeline are estimated at USD 700-900 M.

30 May 2007, Wednesday
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