MOSCOW, February 10. /TASS/. Nord Stream 2 AG, the Nord Stream 2 gas pipeline operator, must repay debts to small creditors of the project by March 9, according to papers of the court trying the dispute between Nord Stream 2 AG and the European Union due to amendments to the EU Natural Gas Directive.
"The Claimant further explained that there are two deadlines which may affect the Claimant’s participation in the current arbitration: the first one, for making payment of amounts owed to ‘small creditors,’ by March 9, 2025; and a second one, for obtaining consent from a sufficient number of creditors to enter into a composition agreement, by May 9, 2025. If such agreement is not reached by this deadline, the Claimant will be declared bankrupt," as indicated in documents of the Permanent Court of Arbitration in the Hague with the reference to the position of the Nord Stream 2 operator.
The court as a result canceled the hearing scheduled for February 10-15 and will separately invite the parties to discuss new dates.
Nord Stream 2 AG initiated arbitration proceedings against the EU on September 26, 2019 due to amendments to the Natural Gas Directive that are not in line with the Energy Charter. The company believes that the EU breached obligations stated in Articles 10 and 13 of the Energy Charter Treaty.
The court of the Swiss Canton of Zug renewed earlier as a matter of exception the final moratorium on bankruptcy of the Nord Stream 2 AG until May 9. The extension of the moratorium was "highly unusual, and has placed the Claimant in an unexpected situation," according to papers of the Permanent Court of Arbitration.