Top European bank to provide 41 million euros to finance construction of Ungheni-Chisinau gas pipeline

18:09 | 14.12.2016 Category: Economic

Chisinau, 14 December /MOLDPRES/ - The cabinet of ministers today approved the signing of a contract on financing between Moldova and European Investment Bank (EIB), to construct the Ungheni-Chisinau gas pipeline. The contract sees a loan worth 41 million euros, provided by EIB.

The signing of the contract on financing with EIB till late 2016 is the last unfulfilled precondition, announced by the European Commission, for the allocation of a grant amounting to ten million euros. Additionally, another 20 million euros will come from the European Commission as grant as well.

The contract on financing will be signed with EIB on 19 December. The gas pipeline will have a length of 120 km. For the Iasi-Ungheni inter-connection to be used at its full planned capacity, two gas compressor stations are to be built on the territory of Romania. The works of extending the Iasi-Ungheni inter-connection to Chisinau will be coordinated between Romania and Moldova, so that they are completed concomitantly.

The overall costs of the construction of the gas main Ungheni-Chisinau are estimated at about 113 million euros.

The works of extending the gas pipeline up to Chisinau will start next year.

(Reporter V. Bercu, editor L. Alcaza)

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