The European Investment Bank (EIB) extended Monday a loan of 150 million euros (about 187 million U.S. dollars) to Ukraine for modernizing a gas pipeline of the country, said the governmental press service.

The loan is to be used in the upgrade of the Urengoy-Pomary-Uzhgorod gas pipeline, which transmits Russian natural gas to European countries via Ukraine.

Under the agreement on the extension of the loan signed by EIB President Werner Hoyer and Ukrainian Prime Minister Arseniy Yatsenyuk, the funds will be distributed to Ukraine's state-owned Ukrtransgaz firm, which operates the pipeline.

After the signature ceremony, Yatsenyuk said that modernization of the Urengoy-Pomary-Uzhgorod section would lower the cost of gas transit by 20 percent.

Ukraine's gas transport network is Europe's second largest, transmitting one-fifth of the gas consumed by the European Union. Endi

Go to Forum >>0 Comment(s)