Kiev should justify economic expediency of gas transit via Ukraine - Gazprom


After Merkel's comments, Russian gas giant Gazprom said that it was possible that the company could retain some transit via Ukraine.

German Chancellor Angela Merkel held a briefing with Ukrainian President Petro Poroshenko and touched upon a number of issues, including the alleged chemical attack in Syria's Douma and Nord Stream 2 pipeline project.

German Chancellor Angela Merkel has said that a new natural-gas pipeline linking Russian Federation with Germany can not go ahead without clarity on Ukraine's role as a gas transit route.

Merkel said political considerations must play a role on Nord Stream 2, which would double an existing pipeline's capacity to nearly 30 percent of European Union demand. While gas deliveries through the Nord Stream 2 gas pipeline will ensure a stable gas price for end consumers and ensure the competitiveness of European industry, Wolfgang Büchele said.

Earlier it was reported that 2 of the Nord Stream AG received permission for the construction and operation of the pipeline in Germany, like "Bagnet".

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In Warsaw in January, then-Secretary of State Rex Tillerson said that "the United States opposes the Nord Stream 2 pipeline", adding, "We see it as undermining Europe's overall energy security and stability and providing Russian Federation yet another tool to politicize energy as a political tool".

The fact that Ukraine would lose revenue from gas transit was also echoed by Merkel during a joint news conference with Poroshenko.

"I also said to President Putin yesterday: it can not be that through Nord Stream 2, Ukraine has no further importance regarding the transit of gas", she said. Ukraine earned around $3 billion in Russian gas transit fees.

Sebastian Sass, a Nord Stream spokesman, said the pipeline wouldn't dry up gas transit through Ukraine.

Russia's leading energy enterprise Gazprom and its partners intend to start implementing the Nord Stream-2 project worth nearly 10 billion euros in April 2018. The construction is to be complete by late 2019.