Hungarian-Slovak gas interconnector project pursued by involved companies

Energy Trade

Slovak gas transmission system operator Eustream and Országos Villamostávvezeték (OVIT), member of the MVM Group, have signed a memorandum of understanding to pursue the Hungarian-Slovak gas pipeline interconnector project.

Eustream and OVIT have signed a memorandum of understanding to demonstrate strong support to the new phase of project implementation, a press statement released by the two companies says.

The companies agreed on details of further cooperation and key milestones for the full implementation and financing of the project. In order to guarantee the continuity of the project, OVIT signed a cooperation agreement with natural gas transmission company FGSz.

“Eustream appreciates that our previous and current Hungarian partner companies agreed on their strong cooperation on the technical aspects of the project. The most important for us is fluent continuity of the project in line with the agreed timetable”, emphasized Andreas Rau, chairman of the board of directors of Eustream.

Eustream and OVIT scheduled commissioning of the pipeline for January 1, 2015.

The OVIT shareholders’ meeting adopted a resolution on September 6, 2011 according to which the equity capital of the company will be increased by HUF 2 billion by the owner, Magyar Villamos Művek Zrt (MVM), and in the interest of implementing the Hungarian–Slovak gas transmission interconnection pipeline project, a new company (Magyar Gáz Tranzit ZRt) will be established. The new project company will carry on the gas licensee activity of OVIT.

The project of interconnection between the gas pipeline systems of Hungary and the Slovak Republic is viable and economically feasible, the press release reads. In addition, it remains a top priority for both the Hungarian and the Slovak members, as well as for the respective national governments and the European Commission.

The project is expected to diversify routes and contribute to the European energy security. Additional cross-border capacity will increase gas market liquidity and also improve the future security of gas supply for the Central European region, the press release says. The project will be partially supported by funding from the European Energy Program for Recovery.

ADVERTISEMENT

Job ads in hospitality, tourism sector grow drastically  Analysis

Job ads in hospitality, tourism sector grow drastically 

Lawmakers approve 2022 budget Parliament

Lawmakers approve 2022 budget

Duncan Graham reelected as BCCH president Appointments

Duncan Graham reelected as BCCH president

Budapest launches revamped coupon card for visitors City

Budapest launches revamped coupon card for visitors

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.