(ANSA) - BELGRADE, SEPTEMBER 18 - The Bulgarian state-controlled gas operator Bulgartransgaz and the Saudi-led consortium Arkad have signed a contract for the procurement of materials and equipment, investment design, construction and commissioning of the expansion of the gas transmission infrastructure from the Turkish-Bulgarian to the Bulgarian-Serbian border, Bulgartransgaz said today.

The project is of "strategic significance for Bulgaria" and will boost "energy security of the countries of the region of South East Europe," Bulgartransgaz added. The projected gas pipeline is approximately 474 km long and the entire project should be completed in less than two years.

At the end of 2018, Bulgartransgaz announced the launch of the procurement procedure for the infrastructure, called "Balkan Stream." The total value of the contract is around 1,1 billion euro, Bulgartransgaz informed. The pipeline is an "extension" of the Russian Gazprom's "TurkStream pipeline" (Russia-Turkey), the specialized portal SeeNews recalled.