Oil & Gas

Geopolitical Perspective
The Vertical Gas Corridor marks a significant shift in Europe’s geopolitical energy landscape, positioning Greece as a central player in regional energy security. By offering a new, non-Russian route for natural gas, the project reduces Europe’s longstanding reliance on Russian pipelines especially crucial as the gas transit agreement between Ukraine and Russia is set to expire at the end of 2025. With its southern terminals in Revithoussa and Alexandroupolis, Greece now becomes a strategic entry point for U.S. LNG, Azeri gas, and potentially Eastern Mediterranean supplies. This diversification strengthens the EU’s energy sovereignty and sends a clear message of unity and resilience amid ongoing geopolitical tensions in Eastern Europe.

Business Perspective
From a business standpoint, the Vertical Gas Corridor opens lucrative opportunities for energy companies and infrastructure operators across Southeast and Central Europe. Greece’s state and private sector partners stand to benefit from increased gas throughput, terminal expansions, and cross-border transmission services. The involvement of multiple Transmission System Operators (TSOs) from Bulgaria, Romania, Hungary, Slovakia, Moldova, and Ukraine showcases a robust multinational partnership. Though challenges like high transit tariffs particularly in Romania could affect route competitiveness, the shared commitment to collaboration indicates strong investor confidence in long-term returns and energy market integration.

Economic Perspective
Economically, the corridor promises to boost regional development and energy price stability. The expansion of gas transmission capacity initially increasing from 2.3 to 3.6 billion cubic meters annually to Bulgaria, with a second-phase increase up to 10 billion cubic meters toward Romania will stimulate investment in pipeline infrastructure, logistics, and energy services. By enabling a steady flow of non-Russian gas, the project can help mitigate supply shocks and price volatility, especially in countries heavily dependent on imported energy. Furthermore, the design’s future readiness for renewable gases and hydrogen aligns with Europe’s long-term decarbonization goals, positioning participating nations at the forefront of the green energy transition.