Sofia: Bulgartransgaz EAD and United Bulgarian Bank AD have signed a significant long-term loan agreement totaling BGN 200 million (EUR 102.26 million) to fund investment activities for the Vertical Gas Corridor.
According to Trend News Agency, Bulgartransgaz initiated a procedure in June to select a bank for financing the strategic project focused on constructing a Vertical Corridor on Bulgarian territory. The process attracted substantial interest, with financing institutions offering resources nearly eight times the required amount, totaling EUR 781.8 million. The loan’s repayment terms are aligned with the project’s scale and are provided under favorable conditions, featuring an interest rate of less than 2% per annum. On September 10, the Council of Ministers approved a draft guarantee agreement between the Republic of Bulgaria and United Bulgarian Bank AD, facilitating the long-term loan for the project.
The Vertical Gas Corridor project is a collaborative effort involving the gas transmission operators of Bulgaria, Greece, Romania, Hungary, Slovakia, Ukraine, and Moldova. The initiative aims to secure, diversify, and sustain natural gas transmission within the region, thereby bolstering Europe’s energy independence.