Russia estimates Turkish Stream investment at 7 bln euros

MOSCOW, Dec 20 (PRIME) -- Russian gas pipeline project Turkish Stream requires 7 billion euros of investment, according to a draft law of ratification of an intergovernmental agreement, seen by PRIME on Tuesday.

“The investments needed to carry out the project in its two-line version, including the costs borne in the framework of fulfillment of the sea part of the South Stream project are about 7 billion euros,” according to the document.

Russia will engineer, build and use the sea part of the pipeline, Turkey will carry out these works for the land part of the first line. The land part of the second line will be made by a joint venture.

Export duties from Russian gas supplies via the first line of the pipeline are expected at U.S. $750 million.

On October 10, Russia and Turkey signed an agreement to build the pipeline, which will consist of two branches with a capacity of 15.750 billion cubic meters each. One of them is to supply gas to Turkey and the other to transit gas to the European countries through Turkey. Under the agreement, the pipeline should be built by December 2019.

The State Duma, the lower house of Russian parliament, plans to study the agreement between Moscow and Ankara in January 2017.

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