Image courtesy of Gazprom.

Bulgarian officials are prepared to go back to the negotiation table to discuss the canceled South Stream pipeline project.

According to RT International, Bulgarian Prime Minister Boiko Borissov said Bulgaria and Russia will create working groups to foster cooperation on energy projects and will discuss reviving the South Stream project.

Gazprom canceled the South Stream pipeline in 2014 when the European Union ruled that the company is prohibited from both providing and delivering natural gas.

The working groups will also discuss plans for a nuclear power plant in Belene that was cancelled in 2012 after it failed to attract investors, RT International said.

The International Court of Arbitration ordered Bulgaria’s state-owned energy firm to pay  Russia’s Atomstroyexport about $600 million in penalties for the cancellation, Reuters said.

The talks are part of an effort to reduce the penalty payments.

Borissov told Bloomberg that he has discussed the projects with the European Commission and said they will comply with EU rules.

Bulgaria halted construction work on South Stream several times before the project was canceled in response to pressure from EU officials.

The pipeline was initially going to run through Bulgaria but Gazprom planned to reroute the line through Turkey in late 2014.

However, the rerouting plan was shelved last year as tensions between Turkey and Russia escalated over the conflict in Syria.

Gazprom holds a 100 percent stake in South Stream.

The South Stream system would transport 63 billion cubic meters of gas per year from Anapa, Russia to Varna, Bulgaria and would run under the Black Sea.


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