Jose Manuel Barroso / Photo: www.flickr.com
18 states sign Nabucco gas pipeline deal that may end Russian monopoly
14 Jul, 09:21 PM
Officials from supplier nations and project supporters - Azerbaijan, Kazakhstan, Turkmenistan and Uzbekistan - joined regional delegates and European and US officials at the signing ceremony for the $10.7 billion project.
Nabucco would cover 2,050 miles to bring about 1.1 billion cubic meters of natural gas each year to European customers from Caspian and Middle Eastern suppliers. Europe put the project at the top of its diversification strategy meant to free the regional energy market from Russian control.
Despite a series of high-profile meetings meant to generate support for the project, the pipeline faces challenges in meeting its reserve capacity due to a lack of commitments from potential gas suppliers.
Regardless, European leaders praised the signing of the agreement, saying it strengthened regional relations.
"Gas pipes may be made of steel, but Nabucco can cement the links between our people," said Jose Manuel Barroso, the president of the European Commission.
Meanwhile, the US State Department offered its congratulations to the governments of Turkey, Bulgaria, Hungary and Austria on the signing, saying the measure was a "milestone" agreement.
"This agreement is a significant milestone in achieving our shared vision of opening a new energy corridor that will bring Caspian gas to Europe," said Ian Kelly, the spokesman for the US State Department.
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