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OMV does not expect early resumption of Nord Stream 2 construction

On Feb 4, Handelsblatt newspaper reported citing US diplomatic sources, that the US intends to impose new sanctions on the Nord Stream 2 gas pipeline if Russia attempts to complete its construction

MOSCOW, February 6. /TASS/. Austria’s OMV, which is a partner of Gazprom in the Nord Stream 2 project, does not expect a quick resumption of works to complete the construction of the gas pipeline, OMV CEO Rainer Seele told a conference call on Thursday.

"The Nord Stream 2 pipeline placement company is working on the plan but so far they are not ready to present that plan, so we do not believe there will be a short term resumption of the pipeline work," Seele said responding to a question how soon the work on the project will be resumed.

Nord Stream 2 is an international project for the construction of a gas pipeline that will run across the bottom of the Baltic Sea from the Russian coast to Germany bypassing transit states. The new 1,200 kilometer pipeline, basically following the same route as Nord Stream, will traverse economic zones and territorial water of five countries, namely Russia, Finland, Sweden, Denmark, and Germany. The pipeline’s capacity will be 55 bln cubic meters of gas a year.

In late December 2019, US President Donald Trump signed the National Defense Authorization Act (NDAA) specifying the annual budget and expenditures of the US Department of Defense for 2020 fiscal year (started on October 1), which obliges the Administration to impose sanctions on Russia's Nord Stream 2 and TurkStream pipelines. Swiss pipeline laying company All Seas suspended its work on the Nord Stream 2 project in the Baltic Sea.

On February 4, Handelsblatt newspaper reported citing US diplomatic sources, that the US intends to impose new sanctions on the Nord Stream 2 gas pipeline if Russia attempts to complete its construction.

According to the newspaper, European investors or companies desirous to buy gas flowing over the pipeline can be affected this time. Diplomatic sources do not exclude new sanctions can be in force as early as in February or in March.

However, Russia has no doubt that it will be able to complete the Nord Stream 2 project on its own. President Vladimir Putin expressed hope that by the end of 2020 the construction will be completed despite the fact that Gazprom had to postpone the project for several months.

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