Nord Stream to create new company to develop the project
In the framework of the Nord Stream project a new company may be founded by the end of 2012. The company could include stockholders of Nord Stream AG and new ones, Nord Stream’s Baltic States & Poland spokesperson Romans Baumanis said at the 2nd Baltic Oil and Gas Trading & Transportation Conference in St. Petersburg. Nord Steam has reportedly been in talks with UK companies.
The project involves the construction of two new pipelines. Baumanis noted that the International Energy Agency predicts demand for natural gas in Europe will surge in 2030 to 626 billion cbm, and the deficit will exceed 200 billion cbm. The construction of new pipelines has been approved by Nord Steam AG shareholders in October 2012.
"There will still be a deficit, even if we successful implement all the announced projects. This offers great opportunities for business," said Baumanis.
On October 8, 2012, Nord Steam official inaugurated the second pipeline, completing the fully-integrated twin-pipeline system. The Nord Stream pipeline system will provide the capacity to transport up to 55 billion cubic metres (bcm) of natural gas a year from Russia to the European Union for at least 50 years. Line 1 began transporting gas to Europe in November 2011.
The Nord Stream twin pipeline system through the Baltic Sea runs from Vyborg, Russia to Lubmin near Greifswald, Germany. The pipelines were built and are operated by Nord Stream AG. The pipeline length is more than 1,200 km.
Zug-headquartered Nord Stream AG (with Moscow-based branch office) is a joint venture established on December 2, 2005. Initially established as North European Gas Pipeline Company, the name was changed to Nord Stream in October 2006. The Company was formed to carry out a feasibility study and building the Nord Stream Pipeline.
Russian state monopoly Gazprom holds a 51 percent stake in the JV. BASF SE/Wintershall Holding GmbH and E.ON Ruhrgas own 15.5 percent each. Gasunie and GDF SUEZ each have a 9 percent share.