Gazprom Wraps up Nord Stream 2 Service Contracts
Gazprom has concluded all the contracts for materials, equipment and services that will be needed for the 55bn m³/yr Nord Stream 2 pipeline project, the Russian pipeline export monopoly said December 8.
Gazprom noted that "preparation for the beginning of the construction of the gas pipeline is in full swing", and all the work has been carried out according to plan and with the direct support of all the project participants.
Gazprom also reports that it has submitted environmental impact assessments to the relevant authorities in Germany, Denmark, Finland and Sweden, through whose territorial waters the pipe will pass. It has also applied for permits to construct the line.
Gazprom's management is confident that the project will be implemented before the end of 2019, but many experts doubt this: there is very strong opposition to the project from a number of eastern EU member states, and the risk that Denmark will apply its newly amended law on the continental shelf to disallow the pipeline from following the route of the already-operational NS 1.
Recently, the company announced rising budget for next two years, hitting a historic record, to complete all of the 1,090-km offshore section of TurkStream (half-done with 33bn m3/yr capacity), the 4,000-km Power of Siberia (half-done with 38bn m3/yr capacity) and NS 2 pipelines by 2019, expected to cost $25-30bn altogether.