With Ukraine cutting off Russian gas transit, Bulgaria’s BalkanStream pipeline has stepped up in a big way, hitting an all-time high in January. Fresh data from ENTSOG shows a 26.7% increase in Russian gas flowing through Bulgaria compared to the same time last year—marking a historic milestone.
Originally built under former Prime Minister Boyko Borissov, the pipeline—called TurkStream in Turkey—became operational on January 1, 2021, at a cost of €1.1 billion. With a capacity of 15.75 billion cubic meters, it now stands as the only active route for Russian gas into Europe, supplying Serbia, Romania, Greece, North Macedonia, Bosnia and Herzegovina, and Hungary.
Although Bulgaria itself doesn’t buy Russian gas, it rakes in hefty profits from transit fees. In 2024 alone, 15 billion cubic meters of gas flowed through, generating €870 million in revenue since the pipeline’s launch.
For now, Gazprom has booked nearly all available capacity until 2039, ensuring stable transit—for the moment. But a major hurdle looms: U.S. sanctions on Gazprombank, which handles transit payments. Bulgaria’s pipeline operations are exempt from sanctions until March 20, 2025. After that, a new payment workaround will be needed—or things could get messy.
If no solution emerges, Hungary—which has failed to diversify its energy sources—could be left scrambling, facing severe shortages as BalkanStream remains its last lifeline for Russian gas.
