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Romania, Bulgaria, Austria and Hungary sign memorandum in Bucharest, to complete the BRHA project

Transgaz starts works to the compressor stations within BRHA phase I

The order to start the works to the gas compressor stations Podisor, Bibesti and Jupa within the “Development of the National Gas Transmission System along the Bulgaria-Romania-Hungary-Austria (BRHA) corridor, phase 1″ project was signed, Transgaz informs in a press release.

Each station will be equipped with two compressor units (one active and one redundant) and will have the technical capability to enable bidirectional gas flows.

“The construction of the BRHA phase 1 infrastructure will have a massive contribution to the increase in the energy security of Romania and will open up new opportunities for getting energy equipment and service providers involved.  BRHA phase 1 project will facilitate the creation of new jobs as far as the construction works and the operations on the Romanian territory are concerned. The investment made in the three gas compressor stations provides further proof of the company’s capacity to develop ambitious strategic investment projects ensuring the sustainable development of the National Gas Transmission System and its alignment with the EU performance and competitiveness standards,” General Director Transgaz, Ion Sterian, stated.

The contract on the construction of the three gas compressor stations was awarded to a consortium consisting of Romanian companies led by INSPET SA Ploiesti. The value of the contract amounts to RON 288.7 million, VAT excluded.

“The project’s strategic relevance had a say in the EU’s decision to get engaged in the funding of the FEED for the three compressor stations, by a grant amounting to EUR 1,519,342 which represents 50 percent of the estimated eligible costs, the release reads.

Besides the construction of the three gas compressor stations, BRHA phase 1 entails the construction of the 479 km-long gas transmission pipeline Podisor-Recas. The total estimated costs related to phase 1 amount to EUR 478.6 million. The European Union covers EUR 179.3 million by means of the second grant representing 40 percent of the estimated eligible costs.

Upon the completion of phase 1 the following gas flows will be ensured to Hungary, by the interconnection Horia-Csanadpalota, 1.75 bcma (200 thousand cm/h), 40 bar border pressure and to Bulgaria, by the interconnection Ruse-Giurgiu, 1.5 bcma (171 thousand cm/h), 30 bar border pressure. The estimated completion date is end-December 2019.

BRHA’s phase 1 is considered to be a regional priority project. It is included in the CESEC (Central East South Europe Gas Connectivity) list to play a significant role in the increase in the security of gas supply and regional interconnectivity.

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