Russia against joining Nabucco and South Stream pipelines.

By bne IntelliNews March 17, 2010
As commented by the Energy Minister Sergey Shmatko, the issue of joining Russia s South Stream and US-financed Nabucco pipelines is not even being discussed. Earlier, head of Italian energy major Eni Paolo Scaroni proposed that two pipelines are joined in order to save costs (Eni is Gazproms partner in South Stream and also a participant in Nabucco). Shmatko elaborated that although Russia is supporting diversification of gas supplies to Europe , South Stream is currently much more competitive as all necessary agreements for its construction are already reached and there is a solid resource base for supplying the gas through the pipeline. South Steam project is planned to connect Novorossiysk via Black Sea and two major nods going to Italy and Austria .  South Stream is jointly realised by Gazprom and Italy 's Eni, its total cost is estimated at EUR 8.6bn and preliminary agreements on building the pipeline are already closed with Bulgaria , Serbia , Hungary and Greece . To remind, in October 2009 PM Vladimir Putin even announced that South Stream might be launched before Nord Stream pipeline project. Launching Nord Stream, however, is planned for 2011, while South Stream project does not have any clear realisation timeframe target yet.

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