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Bulgaria’s Sofia city prosecutor’s office has launched an investigation into a 2023 gas contract between Bulgarian state-owned Bulgargaz and Türkiye's state gas company Botas, officials said Wednesday, as reported by Reuters.
The probe focuses on whether the 13-year contract caused financial harm to the Bulgarian state. Authorities have conducted a home search tied to the investigation, including that of former energy minister Rosen Hristov.
Under the deal, Bulgargaz gained access to Türkiye’s Liquefied natural gas (LNG) terminals for importing gas via Botas's transmission network. However, in May 2025, Bulgarian Energy Minister Zhecho Stankov said the company incurred debt after paying for unused capacity.
Bulgargaz has reportedly paid 600 million lev (approximately $359 million) to Botas so far.
"The subject of the investigation is the contract between the Bulgarian company Bulgargaz EAD and the Turkish energy company Botas, the circumstances surrounding its conclusion, and whether the contract caused damage to the state," the prosecutor's office said in a statement.
According to Novinite.com, Hristov confirmed that investigators had searched his home and seized his phone and laptop. He denied any wrongdoing and described the investigation as politically motivated.
No comment has been issued by Botas regarding the investigation.
European Union member Bulgaria had been completely dependent on Russian gas until 2022 and has been seeking to diversify its gas supplies and find cheaper sources. The deal with Botas was part of that diversification effort following Bulgaria's break from Russian energy dependence.
Bulgaria and Türkiye announced in April 2025 that they would begin expert-level discussions to explore options for expanding natural gas transit capacity at their shared border.
Independent MP Kaloyan Metodiev said in October 2024 that the deal contradicted national interests and that Bulgaria had suspended $1 million in monthly payments to Botas starting in July. He indicated that arbitration may be pursued.
Metodiev stated that the contract with Botas goes against national interests and suggested they would likely pursue arbitration.
Turkish Energy and Natural Resources Minister Alparslan Bayraktar has called for increased pipeline capacity with Greece and Bulgaria to enhance natural gas exports to Southeast Europe.
"We are committed to investing in these pipelines to ensure gas diversification and supply security for Southeast Europe," Bayraktar said in October 2024.
Türkiye has signed agreements with countries including Bulgaria, Romania, Hungary, and Serbia, positioning itself as a key natural gas exporter in the region.
In November 2024, Bayraktar met with then-Bulgarian Energy Minister Vladimir Malinov to discuss opportunities for enhancing electricity and natural gas interconnection capacity. Botas officials were not available to comment on the investigation.
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