Article 2

Article 2

The Parties shall assist in establishing the International Project Company which shall be the owner of the Oil Pipeline.

The International Project Company shall be established by economic entities (hereinafter referred to as "Project Participants") with the following shares in the initial (shareholders') capital of the International Project Company:

51% - the Russian Participant: Pipeline Consortium "Burgas-Alexandroupolis" Limited;

24.5% - the Bulgarian Participant: Joint Stock Company "Pipeline Burgas-Alexandroupolis - BG Project Company";

24.5% - the Hellenic Participants: Joint Venture "HELPE S.A. - THRAKI S.A." (23,5%), and the Greek State (1%).

Following the establishment of the International Project Company, the share of each Project Participant may be fully or partially transferred to oil producing companies interested in participating in the International Project Company. The aforementioned right of the Project Participants to transfer their shares cannot be abolished by the International Project Company constituent documents.

The Parties shall take into account that such transfer by the Russian, Hellenic or Bulgarian Project Participant shall be accomplished upon a written consent of the Russian, Hellenic or Bulgarian Party, respectively.

The International Project Company shall establish relevant branches on the territories of the Republic of Bulgaria and the Hellenic Republic, as well as subcontract Bulgarian and Hellenic companies, not excluding the International Project Company shareholders, taking into account the economic efficiency, with the aim to ensure the technical operation of the Oil Pipeline.