Gazprom goes it alone after $11bn Nordstream 2 consortium falls apart

Nordstream 2Nordstream 2 consortium: Gazprom will go ahead and build the new $11bn Nordstream 2 gas pipeline from Russia to Germany on its own, it announced on Friday, after opposition from Poland’s anti-monopoly watchdog forced its consortium partners to withdraw from the project.
The state-run Russian enterprise had initially intended to build the new pipeline within the framework of a consortium that included Shell Oil, Engie, OMV and Basf/Wintershall and, although the pipeline will not run through Poland or Polish waters, Gazprom needed the Polish watchdog’s approval to sell shares in the joint venture to its partners, some of which have assets in Poland.
That hope has now been dashed after the Polish regulator formally objected to the pipeline on the grounds that it would cement Gazprom’s already dominant position in the European gas market. The move will not come as much of a surprise to anyone involved, as Poland has been at the forefront of a group of EU states who see Nordstream 2 as an attempt by Moscow to increase Europe’s reliance on Russian gas and to bypass Ukraine.
Construction of the project will now go ahead as planned and remains scheduled for completion in 2019, Gazprom confirmed in last week’s statement. “All the applicants believe that the project is crucial for the European energy system and each of them will therefore individually contemplate alternative ways to contribute to it,” it claimed.

 
Source: FT