8 Apr 2011 13:34

Gazprom to release South Stream feasibility study, announce capex in next few months

MOSCOW. April 8 (Interfax) - Russian gas giant Gazprom will prepare a feasibility study for the South Stream pipeline project and specify capital expenditures for it this summer, head of the company's foreign economic operations department Pavel Oderov said.

"A consolidated feasibility evaluation is in the completion stage and we will release the results in May or June, select a final route [for the pipeline], and announce capital costs," Oderov said at a conference dedicated to Russia's fuel and energy complex in the 21st century.

Oderov said that the company is looking at three route options: Bulgaria-Serbia-Hungary-Austria-Italy, Bulgaria-Serbia-Hungary-Slovenia-Italy or Bulgaria-Greece-South Italy.

He said that South Stream will reach its design capacity in 2018.

Commenting on Gazprom's plans in China, Oderov said that two pipeline projects are now under consideration that would be able to transport 68 billion cubic meters.

Supplies of gas via pipeline from the Shtokman field are expected to start in 2016 and liquefied natural gas - in 2017.