BUILDING OF OPERATIONAL COMPLEX VESTMOLDTRANSGAZ STARTED AT CHISINAU OUTSKIRTS

The works on building an operational complex VestMoldTransGaz have started on the edge of Chisinau on Monday. It will be located on an area of 4 hectares and will include the main building of control and administration, industrial facility with mechanical workshop, a warehouse and a laboratory.

Prime Minister Pavel Filip said at the ceremony that this object is a component part of the project of building the Ungheni-Chisinau gas pipeline.

"The gas pipeline with the length of 120 km may give to all country the necessary volume of natural gas. This is an important step towards Moldova's energy security, an alternative source of gas. Connecting to the Romanian gas transportation system, Moldova connects to the European energy market. Romania will connect Moldova with Europe", Filip said.

Deputy Premier of Romania Anna Birceal said that today is a historical day, confirming her country's commitment to support the Moldova's European choice.

According to Transgaz Director Ion Sterian, the enterprise has a guaranteed source of financing and the works on building the gas pipeline may be concluded until the end of this year.

As Infotag has already reported, at the beginning of 2018 the Transgaz bought the Moldovan operator VestMoldTransGaz by means of its Moldovan daughter EuroTransGaz. The property complex, which includes the Moldovan section of Iasi-Ungheni gas pipeline, was bought at 180 million lei with the condition of investments worth not less than 93 million euros in extending the pipeline to Chisinau within two years.

For this, Moldova and Romania built a 43-km cross-border gas pipeline Iasi-Ungheni, commissioning it in 2014, but it has not become functional since then. Its goal is to exclude the Moldova's dependence on the single gas source - the Russian Gazprom. The pipeline cost was 26.5 million euros, 80% of which were paid by Romanian and European partners.

The next important stage of the project will be the building of the Ungheni-Chisinau gas pipeline in the territory of Moldova, as well as the Onesti-Letcani gas pipeline and a compressor station in the territory of Romania, to supply gas to Moldova.

The completion of the project will mean the unification of EU member countries' markets with the Eastern Partnership countries and the ensuring of the security of gas supplying to the region.

Initially, the project was planned to be implemented already till end 2018. Then, after the signing of contract with the Transgaz, it was about the start of building in June, after that - in autumn.

The length of the Ungheni-Chisinau gas pipeline will account for around 120 km. It will be supplying to Moldova around 1.5 billion cubic meters of natural gas, which will completely cover the needs of the mainland Moldova.

The European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB) will allocate credits worth 41 million euros each for the building works, while the EU will provide a grant worth 10 million euros.

So far, Moldova completely depends on the Russian gas, received from Gazprom.