The 109-km (68 mils) Nis-Dimitrovgrad pipeline, with a capacity of 1.8 billion cubic metres (bcm) of gas annually, will be ready for operation by October 2023, Prime Minister Ana Brnabić said during the groundbreaking ceremony, as quoted in a government statement.

A total of EUR 25 million of the project costs will be covered by a loan from the European Investment Bank (EIB), EUR 49.6 million by a grant from IPA, EUR 10.3 million from the Serbian budget and EUR 600,000 from own sources of state-run Srbijagas, Brnabić said.

The project includes the construction of two gas pipes and four measuring and regulating stations with the adjacent facilities, the government said.