Expanded volumes of ICGB transporting Azerbaijani gas to be ordered in July

Due to the changing security and energy environment in the region, possibilities to expand the Greece-Bulgaria Interconnector (ICGB), which transports Azerbaijani natural gas, in line with the growing needs of the market are being actively explored.

This was said by Teodora Georgieva, executive director of ICGB, the project operator, Azernews reports.

"IGB currently has an annual transmission capacity of 3 billion cubic metres. Currently, the available capacity on the PRISMA and RBP platforms is being auctioned. The interconnector provides approximately half of Bulgaria's domestic consumption and creates the possibility of delivery from new sources to other countries of the region, such as Moldova and Ukraine," she said.

T. Georgieva noted that the ICGB has started the process to investigate the market interest in increasing the pipeline capacity to 5 billion cubic metres to meet the growing demand, and the Transmission Service Operators (TSO) have already implemented the non-mandatory stage of this process:

"At this stage, positive impulses regarding the demand have been observed. The ICGB continues to work on the next steps in the process. The mandatory stage, that is, the stage when energy traders and shippers can order gas capacity, is planned for July 2024. Also, the company operates in the direction of evaluating potential investments, and the final decision in this regard is BEH Ltd. with IGI Poseidon."

She said once the decision on the expansion is made, the ICGB will select a contractor for the engineering phase, consultants for any changes to the existing infrastructure, and finally proceed with the tendering process and construction work.

"The ICGB is an active supporter of closer cooperation with other TSOs and countries in the Western Balkans, South-Eastern Europe, and Central Europe regarding the improvement of energy infrastructure in the wider region. We support the expansion of the Vertical Gas Corridor initiative, which includes TSOs in Moldova and Ukraine, to reduce energy dependence and ensure safe delivery routes and diversified sources," the executive director of the ICGB pointed out.

It should be noted that the IGB project, which started operating on October 1, 2022, was established in 2011 by the investment company ICGB AD, registered in Bulgaria, with the shareholders of Bulgaria's Energy Holding (50%) and Greece's IGI Poseidon (50%).

The total length of 182 km, the annual transmission capacity of 3-5 billion cubic metres, and 150 km of the IGB fall on the territory of Bulgaria.

In 2023, 1.39 billion cubic metres of Azerbaijani natural gas were transported to Bulgaria and 0.67 billion cubic metres to Greece.