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Briitish consumers could cook with Russian gas from next year

Posted by John Bonar on Friday, 29 June 2012 22:24 | Published in Oil & Gas Pipelines

 

Russian gas monopoly Gazprom has decided in principle to extend its Nord Stream pipeline project to reach Great Britain, CEO Alexei Miller said on Friday.

 

BP has expressed an interest in Gazprom extending one of the Nord Stream pipeline lines to Britain and receiving gas, Gazprom Miller told a press conference. “Signals have been received on both British governmental and corporate level that Britain would be interested in one of the new Nord Stream lines being extended to Britain. And that interest has been expressed on the part of BP," Miller said, adding that this was so far a matter of interest only, not negotiations.

Nord Stream ferries Russian gas through the Baltic Sea to Germany. The first of the project's two lines was opened in November and will have an annual capacity of 27.5 bcm. The launch of the second leg in October this year would make Nord Stream a fully automated twin-pipeline gas transport system capable of transporting 55 billion cubic meters of gas annually from Russia to the European Union.

Gazprom owns 51 percent in Nord Stream, Germany's Wintershall and E.On each have 15.5 percent, and the Netherland's Gasunie and France's GDF Suez each own 9 percent of the shares.

Miller said participants in the construction of Nord Stream's various strands might differ. "The composition of shareholders could stay the same, it could differ," he said. The lines to continental Europe might have the same shareholders and those to Britain other shareholders, he said. If negotiations are successful then the extension of Nord Stream to the UK could be completed next year.

 

Briitish consumers could cook with Russian gas from next year