Russia is the sole exporter of natural gas to Bulgaria. Deliveries began in 1974. Russian-Bulgarian cooperation is based on several documents, the most important being the General Agreement between member states of the Council for Mutual Economic Assistance (CMEA) on developing the Orenburg gas field and constructing the main Orenburg-Western Soviet Border gas pipeline, and the Yamburg Agreement between the USSR and Bulgaria on developing the Yamburg deposit and constructing the Yamburg-Western Soviet Border gas pipeline.
Gazprom Export’s main partners on the Bulgarian market are Bulgargaz EAD and Overgas Inc. Bulgargaz is a state-owned enterprise and a 100% subsidiary of the Bulgarian Energy Holding EAD. The enterprise was created in 1974.
In December 2006, Gazprom Export and Bulgargaz signed a Memorandum on the further development of Russian-Bulgarian gas sector relations. The Memorandum extended the contract for Russian natural gas transport via Bulgaria to other countries until 2030, while keeping booked transit volumes to 17.8 bcm a year.
Overgas Inc. is a joint-stock company, 50% owned by Gazprom Export. Overgas Inc. is involved in constructing and operating Bulgaria’s gas pipelines and gas distribution networks, and delivering natural gas to end consumers.
On November 15, 2012, Gazprom Export and Bulgargaz EAD signed a new long-term gas supply contract for up to 2.9 bcm per annum. The contract covers the supply of natural gas from Russia to Bulgaria from January 1, 2013 to December 31, 2022.
Bulgaria’s natural gas consumption in 2015 was around 3.2 bcm, including imports of 3.11 bcm (fully covered by supplies from Russia), and including 200 mcm of gas for compressor stations.
As at December 31, 2015, the cumulative total of gas supplied to Bulgaria since the start of deliveries was around 167 bcm.