Hungary, Croatia Sign MoU for Pipeline Construction Project

Croatia and Hungary have signed a memorandum of understanding (MoU) on a common approach towards the construction of a bi-directional gas transmission pipeline between the two countries.

According to the MoU, the establishment of a bi-directional gas transmission pipeline will occur in three phases. During the first phase, a short-term measure will allow for an interruptible physical return using a Hungarian compressor station. In the second phase, to be completed by the end of March 2019, the first compressor station in Croatia will be built.  Finally, if new sources of gas are secured, additional infrastructure to increase capacity will be built.

“It is vital from the perspective of Hungary’s energy supply that it should also be able to purchase gas from a southerly direction in future, and accordingly the declaration of intent on the realization of a Hungarian-Croatian gas interconnector is strategically important,” Hungary’s Minister of Foreign Affairs and Trade Péter Szijjártó said. “Energy security continues to be an extremely critical issue for Central Europe, and it is partly in the economic interests of the countries of Central Europe, and at least as much in their national security interest, for north-south energy transport infrastructure to be developed.”

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