The project for gasification of Macedonia worth €300 million begins. The Russian company Stroytransgaz and Macedonian energy resources Monday in the frames of Macedonian-Russian Intergovernmental Commission signed Memorandum of Cooperation, which is the first serious step towards construction of national gas pipeline network in the country. The agreement is to be signed at late by several months after which works on ground will begin.

This represents a crown of efforts made in the frames of Intergovernmental Commission and agreement for regulation of Russia’s clearing debt to Macedonia, with which this project will be realized and latest visit of PM Nikola Gruevski to Russia and meeting with Russian President Vladimir Putin in St. Petersburg last week, Zoran Stavreski, Deputy PM and Finance Minister and co-chair the sixth session of the Macedonian-Russian Intergovernmental Commission for Trade, Economic, Scientific, and Technical Cooperation, said after memorandum signing.

Stavreski said that agreement will define time framework where all technical and other details will be agreed in order gasification project to begin for several months. Both sides have at least one to two months to finalise matters and three to four months to begin the realization of the project, Stavreski added.

Maxim Travnikov, Deputy Minister for Regional Development and Russian Commission's co-chair, also confirmed the start of construction of facilities in several months and providing concrete gas supply on entire territory of Macedonia.

The project’s value is US$75 million of which US$60 million are agreed with Russia’s clearing debt towards Macedonia and US$15 million are provided from budget of the Republic of Macedonia aimed at wrapping up financial construction in this part, Stavreski said adding that the entire gasification project is valued at US$300 million and will be carried out in phases in accordance with the talks led with European bank from where additional funds are expected.

The government is fully committed to prepare projects and today’s memorandum enables start of expropriation process and approval for building to begin this month, Minister of Transport and Communications Mile Janakieski said.