Romania’s gas transmission company Transgaz finished works on almost half of the ROHUAT pipeline segment on Romania’s territory, according to a company release. The company built 215 km of the 550 km total length of the ROHUAT pipeline in Romania, with EUR560m investment in the project’s first phase. Works on the first phase started last year in June and should be ready next year. The finalization of project’s first stage will also ensure bidirectional gas flows with Bulgaria and Hungary, allowing gas exports.
The ROHUAT pipeline should link Bulgaria, Romania, Hungary and Austria in gas transport from the Black Sea to central Europe. The pipeline segment on the Romanian territory will also enable gas transport from the Black Sea’s major gas deposits discovered in past years. ROHUAT will also enable gas links with other major gas transport infrastructure projects such as the Southern Gas Corridor, with other important gas centers in CE and with future gas production locations in the Black Sea. ROHUAT will have a maximum annual gas transport capacity of 1.5 billion cubic meters (bcm) towards Bulgaria and 4.4 bcm towards Hungary.
Transgaz estimated total investment needed for the Romanian segment of the pipeline at EUR1.1bn, which it plans to cover with its own resources, EU funds and loans from IFIs. The EC already granted almost EUR180m for the first phase of the project. Yet, Transgaz often complained that the government’s dividend policy would channel its money for investments to the state budget.