Currently, all required payments have been completed, and there is a transitional period until December 20 under the US sanctions regime.

Gazprom has fulfilled its payment obligations through the end of November, with the next payment due by the end of December.

Countries like Hungary and Turkey are exploring options to navigate the sanctions, as they are concerned about the impact on regional gas supply security.

Bulgaria may suspend the transit of Russian natural gas to Serbia if Gazprom Export does not arrange payments without utilizing the US-sanctioned Gazprombank, as warned by caretaker Energy Minister Vladimir Malinov.

Historically, Gazprombank has been the primary institution for processing payments related to gas transit, but its current US sanctions complicate financial transactions.

The 'Turkish Stream' pipeline, which is crucial for transporting Russian gas, relies on Gazprombank for its main reserve capacity, with a contract extending until 2039.

This situation raises significant concerns for European energy supplies, particularly with winter demand on the rise.

Despite the looming sanctions, Malinov assured that Russian gas transit to Serbia would not be interrupted by the end of December 2024, provided a solution is reached by December 20.

Bulgaria is currently awaiting a concrete proposal from Gazprom Export regarding a new payment method, with all necessary payments completed for now.

Malinov indicated that Gazprom is expected to announce its payment plan soon, which is critical for maintaining gas flow.

Transit revenues from gas supplies to Serbia are vital for Bulgartransgaz, which reported a significant increase in revenue largely attributed to gas transit income.

The potential halt of Russian gas transit could have severe consequences for Serbia and Hungary, both of which rely heavily on these supplies.