site.btaUPDATED Energy Minister Says Gas Supplies Secured for at Least a Month, Alternatives Available after Gazprom Stops Deliveries to Bulgaria

Within hours after it transpired that Gazprom Export has given Bulgaria a one-day notice that its gas supplies would be discontinued, Energy Minister Alexander Nikolov held a news briefing where he said that Bulgaria is able to meet the needs of users for a month or longer.

He said that gas is still flowing as he spoke.

According to the Minister, alternative supplies are available and Bulgaria hopes that alternative routes and supplies will also be secured at EU level.

An expert meeting on EU level is due later in the day to plan the next steps, Nikolov said. He added that Poland and Lithuania are in the same situation as Bulgaria.

He explained that Bulgaria received one letter from the Russian side with a proposal for a two-stage payment to grant the Russian demand for payment in rouble, after which Bulgaria sent a letter asking for clarification and warranties. A second letter from Russia did not answer any of the questions.

Bulgaria has a full package of documents proving payment for supplies for this month, and that clearly shows that Gazprom has defaulted on its contract. “Obviously gas is used as a political tool,” he said.

“While I am minister and I am in charge of this sector, Bulgaria is not going to negotiate under pressure and give in to pressure,” the Minister said.

Speaking to reporters later in the day after the end of the government's weekly meeting, Nikolov said that there are two important points to consider. "One is that there is an actual confirmation of stopping gas deliveries to Bulgaria. Secondly, [Bulgaria’s state-owned gas supplier] Bulgargaz’s latest payment to Gazprom has been returned under the mechanism included in the contract," Nikolov said.

Asked where Bulgaria will import gas from, given the current situation, the Minister said he will not provide specific details on the ongoing procedures or tenders to guarantee transparency and allow Bulgargaz to achieve "an optimal price". "Achieving optimal price efficiency depends on having various supply channels, including conventional deliveries through Greece and Turkey or a liquefied gas terminal to balance things and secure the needed gas quantities," Nikolov said.

The situation depends on an unpredictable partner [Gazprom Export]. In terms of commercial and legal relationships, natural gas is used as a tool for exercising economic pressure in time of war, he also said. “We will do our best to achieve maximum price efficiency,” Nikolov said.