Bulgaria is nearing completion of key stages in construction of the Vertical Gas Corridor on its territory, with two projects under the initiative to become operational by the end of this year, which will connect the gas infrastructure from south to north and allow the transport of liquefied natural gas (LNG), including American, from Greece to Ukraine and other countries in Central and Eastern Europe, said Bulgaria’s acting Energy Minister Traicho Traikov during a ministerial meeting in Washington, BTA reports, according to Agerpres.

Bulgaria is the first country to start the actual construction of the Vertical Gas Corridor, positioning itself as a key factor in regional energy security, Traikov said, quoted in a press release issued by the Bulgarian Ministry of Energy.

Projects are currently underway to increase capacity at critical interconnection points – Kulata/Sidirokastro (Greece-Bulgaria) and Negru Voda/Kardam (Bulgaria-Romania). The Vertical Gas Corridor acts as a south-north ‘highway’, capable of transporting up to 10 billion cubic meters of LNG annually to Ukraine and the wider region via the Negru Voda 1/Kardam interconnection point.

Bulgaria has applied for funding, partly in the form of a grant, from the European Union’s Modernisation Fund, which, if approved, will contribute to creating a competitive tariff structure that will benefit both Bulgarian and regional gas network users, the Ministry of Energy in Sofia has stressed.

Next year, the Stara Zagora and Komotini (Greece) interconnection points with increased capacity are expected to be put into operation. Beyond their strategic role in diversifying energy sources, these projects will give natural gas traders greater flexibility in managing supply and accessing new markets.

“Efforts to diversify the region’s energy supply really started about 17 years ago, right after the interruption of gas supplies from Russia in 2009. At that time, Sofia, which relies on natural gas for heating, literally started to cool down,” Traikov recalled. He noted that this crisis triggered a decisive change in European policy and led to active support from the European Commission for interconnections between Bulgaria and Greece, Romania and Serbia. “The most important of these is the one with Greece, because it laid the foundation for the Southern Gas Corridor and for everything we are doing today,” the acting minister added.

Traikov acknowledged that some past opportunities, such as the Nabucco project, were missed, but said diversification efforts had proven effective. “When the much bigger crisis hit in February 2022 and Gazprom demanded payment in rubles, we were ready. We politely refused because it would have violated our contract – and nothing happened. At the same time, Bulgaria received two ships of American LNG, a clear demonstration that diversification works,” he said.

At the transatlantic summit in Washington, Traikov signed a statement supporting Bulgargaz’s negotiations to import American liquefied gas. The document was signed in the presence of Doug Burgum, Secretary of the US Department of the Interior, and Chris Wright, Secretary of the US Department of Energy.

Traikov said the step is in line with Bulgaria’s and the EU’s commitment to phase out Russian gas, including a legally binding ban on LNG and gas delivered through pipelines from Russia, with a complete cessation planned for the end of 2026 and autumn 2027, respectively. “Following the phase-out of Russian gas, including LNG, starting next year, a large part of the gas supply currently entering through the back door will likely become impossible. Therefore, the Vertical Gas Corridor is not just an infrastructure project – it is a vital tool for regional energy security and real diversification of supply,” the Bulgarian official noted.