MOSCOW, June 21 (RIA Novosti) - Gazprom [GAZP] and MOL Group will establish a company to implement gas projects in Hungary, the Russian gas giant's press office said Wednesday.
The company will be established on a parity basis under an agreement signed in Budapest Wednesday between Gazprom CEO Alexei Miller and MOL Group President Zsolt Hernadi.
Gazprom spokesman Sergei Kupriyanov said the project, called the South European Pipeline, aimed to create new transnational gas transportation capacities and an underground gas storage in Hungary.
"The project aims to create a new system to transport gas from Russia and third countries to European markets," Kupriyanov said, adding that the Blue Stream pipeline under the Black Sea could be used to implement the project.
Kupriyanov also said diversification of gas routes was a common element in Russia's and Europe's energy strategies.
"Considering Gazprom's resource base, the existing portfolio of contracts and the prospects for concluding new export contracts, this is the only realistic project for gas deliveries to southeast Europe. Hungary is a key point for such projects," Kupriyanov said.
