The European Union is set to extend its arena of energy regulation into the Balkans under a landmark agreement that has been agreed between Brussels and countries in the region.

The Associated Press reports that the deal will see the EU invest funds into the outdated energy infrastructure in southeast Europe, while the Balkan countries will reciprocate by working together to allow the creation of expanded natural gas transit routes from the Middle East and Caspian sea area.

AP adds the deal offers an example of the kind of agreement the EU wants to see signed with Russia, which is also in need of investment in its core energy transit and production infrastructure.

Signatories to the deal include Croatia, Serbia, Montenegro, Bosnia, Macedonia and Albania among others. The United Nations also signed, representing Kosovo.