Nord Stream pipeline partner: American sanctions will have a major impact on the financing of the project
New US sanctions against Moscow will impact the financing for the Nord Stream 2 pippeline project, as expressed by the President of the German-Russian Foreign Trade Chamber and the CEO of Austrian energy company, OMV Rainer Seele, DW informs.
"It will not be possible to organize project financing involving US banks, we will have to work with Asian banks,” he stated.
According to Seele, the assessment is being conducted to determine the consequences of the new US sanctions on the Nord Stream gas pipeline expansion project.
As a result of the new sanctions package, it will be difficult to secure the loans for almost 70% of the capital needed for the project according to the CEO of one of the project’s partners. However, despite all the financial difficulties the Nord Stream 2 project partners strongly intend to complete it under any circumstances, even if they have to use their own funds.
On August 2nd, US President Donald Trump signed the bill, adopted by the US House of Representatives and Senate, implementing tougher sanctions against Russia, Iran and North Korea. The new sanctions put into question the future of the Nord Stream 2 pipeline which would transport Russian gas along the Baltic Sea bed to be delivered to Germany and other EU states.