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Reviews of the press
 
  Andrej Milovzorov. The Surrender of Nabucco

2010 09 27

The European project Nabucco for the transportation of gas surrenders to the impact of the Russian “South Stream”. Though Europe is not yet giving in and declares about its readiness to finance the construction, however, the participating states of the project, in despair of finding the required amounts of gas, are slowly passing over to the alternate and smaller version of diversification of gas transportation routes.

Last week during the Energy Summit in Baku Presidents of Azerbaijani, Georgia and Romania, as well as Prime Minister of Hungary, have signed the Declaration concerning the construction of the gas pipeline AGRI (Azerbaijani-Georgia-Romania Interconnector). Unlike the Nabucco and the “South Stream”, this project is not offering to lay the pipes along the entire length of the route. The gas pipeline will connect the deposits of Azerbaijani with Georgian ports, where gas will be liquefied and delivered by tankers to Romania. There it will be regasified and enter the distributing EU network via the territory of Hungary. The amounts of delivery and the costs of the projects are much lower than Nabucco. Subject to the scope, the costs of the construction will amount to some EUR 1,2 – 4,5 billion. As noted the President of Romania Traian Basescu, the project is “the most economical” without any hidden political motives.

On the eve of the Summit the parties have signed Memorandum on establishing a joint undertaking within the framework of the project AGRI, with equal shares for Azerbaijani, Georgia and Romania, providing for a possibility to acquire shares in the future for other companies as well.

Material has been prepared by the Centre of Geopolitical Studies with reference to the article from «Утро.ru» of 21 09 2010


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