Russia, Hungary to Sign South Stream Gas Pipeline deal - PM

Russia, Hungary to Sign South Stream Gas Pipeline deal - PM

Hungary and Russia will likely sign a cooperation deal on the South Stream gas pipeline project later this week, Hungarian Prime Minister Ferenc Gyurcsany said, cited by the Thompson Financial.

'We will probably sign an agreement Thursday in Moscow on the construction of the Hungarian section of the South Stream gas pipeline,' Gyurcsany was quoted as saying by the national press agency MTI, after meeting Russian First Deputy Prime Minister Dmitry Medvedev in the Hungarian capital.

The deal between the two countries will seal Hungary's participation in the 10 bln eur South Stream pipeline being built by Russian gas giant Gazprom and ENI of Italy, which will carry Russian gas to Europe.

Budapest and Moscow are to sign Thursday a memorandum creating a joint company, in which each will have an equal 50 pct share, to develop the pipeline project.

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