Thursday, August 12, 2010
Bulgaria Turns to South Stream
This week, Nabucco has fallen behind South Stream in the race for control of gas deliveries to Europe. Bulgarian Prime Minister Boyko Borisov has announced that Bulgaria and Sofia have agreed upon the South Stream pipeline route through the two countries. (Oil and Gas Eurasia, 09 August 2010). At the same time, Wolfgang Ruttenstorfer from the Austrian energy company OMV told the Wall Street Journal that a final decison on building Nabucco could be delayed until the beginning of 2011. The decision will only follow completion of the "open season" process scheduled to begin in the fourth quarter of 2010. During this period, Nabucco shareholders will be able to purchase long term contracts for the pipeline's throughput capacity. (Oil and Gas Eurasia, 09 August 2010).
Commenting on the future of Nabucco, Atlantic Council senior fellow Borut Gric characterized it as "the project that never seems to stop being planned." Gric referred to Nabucco as a paper tiger that lacks the financing and political support to make itself operational. (Today.AZ, 09 August 2010).
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