Friday, July 6, 2007
GAS
July 6, 2007
Utility Week
Gazprom and Eni are to build a 900km gas pipeline from Russia to Italy and central Europe via the Black Sea. A new joint venture will own and finance the 30 billion cubic metre per year South Stream project. Russian and central Asian gas could reach Europe via the route by 2012.
The South Stream pipeline would branch in Bulgaria, with one arm serving Greece and Italy and the other supplying Austria and Hungary. Greece and Bulgaria have already confirmed their participation, but Gazprom is seeking further partners for the €10 billion project.
OMV chairman Wolfgang Ruttenstorfer insists South Stream "complements" its EU-backed Nabucco route to bring gas from the Caspian Sea region to Central Europe, but this extension of Gazprom's infrastructure ties with Europe may threaten Nabucco's long-term viability.
Elsewhere, Gassco has taken over operation of receiving terminals for Norwegian gas at Dornum and Emden in Germany, Zeebrugge in Belgium and Dunkirk in France. The company already operates the pipeline.
l RWE is to work with US firm Excelerate Energy to build a LNG import facility at the north German port of Wilhelmshaven. The offshore plant will be operating by 2010, ahead of rival Eon's LNG project at the same port.
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