Minister of Environment, Mining and Spatial Planning Oliver Dulic said yesterday that the construction of gas pipeline South Stream will turn Serbia into a hub for supply of the entire region with gas from Russia, which is important in geostrategic and political sense.

Speaking at a press conference dedicated to this project, Dulic said that the construction of the section of gas pipeline through Serbia will cost approximately €700 million. The capacity of the pipeline will be around 40 billion cubic meters of gas annually.

The Minister said that this pipeline will pass through Serbia in the length of approximately 470 kilometres and thousand of workers will be engaged in its construction.

Serbia will do everything to provide administrative and other support to this project, Dulic said, adding that Serbia should have constant income from various transit charges, which is economically very important for our country.

General Manager of company South Stream Marcel Kramer pointed out that the most important goal of the pipeline is to ensure a safe and secure delivery of gas to consumers.

Kramer specified that construction of South Stream in Serbia will start in 2013 and is expected to be put into operation in late 2015.

All projects will have been prepared by 2012, Kramer said and added that construction of the pipeline will take place simultaneously in all countries through which South Stream will pass.

He recalled that Serbia was the first one to have elaborated the Feasibility study for part of the gas pipeline that passes through its territory and a joint Serbian-Russian company “South Stream“ was set up.

The gas pipeline will enter Serbia in Zajecar, and there are two options for its exit to Hungary, which will depend from the final route of the pipeline, he explained.

General Manager of Srbijagas Dusan Bajatovic underlined that the fact that the pipeline is passing through our country is good for Serbia’s image.

Bajatovic reiterated that Serbia will be the regional gas hub and that South Stream will carry gas from Russia to consumers in the EU.