Russia, Greece, Bulgaria to sign oil pipeline deal

Russian President Vladimir Putin will visit Athens to sign a long-delayed Balkan oil pipeline deal with Greece and Bulgaria on Thursday, ensuring the flow of cheaper Russian crude to the Mediterranean.

Ending almost 15 years of negotiations that often saw the ambitious deal on the brink of collapse, the three nations have set aside differences to allow construction of the 280-km (174 miles) pipeline to begin.

The 700-million-euro oil pipeline between the Bulgarian Black Sea port of Burgas and the Greek Aegean Sea port of Alexandroupolis will bypass the congested Turkish Bosphorus Straits where tanker delays are costing oil companies nearly $1.0 billion a year.

It will also further strengthen Russia’s influence in the European energy market, a move viewed with suspicion by the United States.

Reuters