The German energy concern RWE remains committed to the pipeline project Nabucco, despite its intention to consider Gazprom's proposal to participate in Russia's South Stream project, Trend reports.
The German company said Nabucco better meets RWE's investment criteria and fits the Group's ongoing projects in Europe, the Caspian Region and Turkey.
A source in Gazprom told Reuters that the Russian gas giant had proposed that RWE join the South Stream pipeline construction consortium.
RWE is one of six shareholders in the Nabucco gas pipeline project designed to transport gas from the Caspian region and the Middle East to the EU countries. The company has a share in the project worth 16.67 percent. Construction of the gas pipeline worth 7.9 billion euros is scheduled for completion in 2011. The first deliveries are expected to be made in 2014.
Stefan Judisch, CEO of RWE Supply & Trading, said that in RWE's opinion, Nabucco is the only pioneering and cost-effective initiative for diversifying gas sources and gas transport routes and competitiveness in Europe.
RWE is conducting intensive and constructive talks with Azerbaijan, northern Iraqi authorities and Turkmenistan on gas deliveries to be conducted through the Nabucco pipeline. The company signed an agreement with Turkmenistan to develop block 23 in the Turkmen sector of the Caspian Sea. In April, the company announced that it will spend $60-80 million in the next four years to develop an offshore gas block in Turkmenistan.
The project "South Stream" envisages gas supplies from Russia via the Black Sea to the Southern and Central Europe. It is often viewed as a competitor to Nabucco. Its main purpose is to diversify routes and sources of gas supplies to Europe.
The gas pipeline South Stream will be commissioned in 2015. The maximum planned capacity of the pipeline is 63 billion cubic meters a year.
RWE considers Nabucco best choice
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