Acegas-APS to Build Gas Distribution Grid in Western Bulgaria

Acegas-APS SpA, the municipal utility for the northern Italian cities of Trieste and Padua, will invest 55.8 million euros ($80 million) in the next three years to build a gas distribution grid in western Bulgaria.

The company, through its Bulgarian unit Rila Gas AD, plans to build a 372-kilometer (231-mile) natural gas pipeline network to service 150,000 potential customers in seven cities, Cesare Pillon, chief executive officer of Acegas-APS, told reporters in Sofia today.

“Our investments in Bulgaria are part of our company’s overall development strategy,” Pillon said. Acegas-APS is also building a gas grid in Serbia, he said.

Acegas-APS has already invested 25 million euros to build a 134-kilometer grid in the cities of Dupnitsa, Sandanski, Vratsa and Pernik, which will be operational by the end of the year. The company’s gas network in Blagoevgrad has supplied fuel since 2010, Pillon said.

Rila Gas won a permit in 2006 to distribute natural gas to western Bulgaria over the next 35 years. The total investment project involves 130 million euros to build 850 kilometers of gas pipeline network, said Sergio Pantano, executive director of Rila Gas.

To contact the reporter on this story: Elizabeth Konstantinova in Sofia at ekonstantino@bloomberg.net

To contact the editor responsible for this story: Eddie Buckle in Berlin at ebuckle@bloomberg.net

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