The four individual pipes will deliver a combined capacity of 10.64 Bcf/d of gas to European markets
Permits for the Nord Stream 2 project are currently being drawn up. National environmental impact assessment reports were submitted to the German, Danish, Finnish, and Swedish authorities, with construction permit applications filed for the corresponding sections of the gas pipeline in each country.
Preparations for the pipeline’s construction are in full swing, with contracts signed for all basic materials, equipment, and services required for the project.
The members of the Gazprom Management Committee expressed confidence that the Nord Stream 2 would be completed on time and brought into operation before the end of 2019.
Recent news/update
In April 2017, it was reported that five international energy companies would finance the project with US$1.031 billion each. Russia’s Gazprom would cover the remaining cost of US$5.16 billion.
Shell (ticker: RDS.A), ENGIE (ticker: ENGI), OMV (ticker: OMV), Uniper (ticker: UN01) and Wintershall, a subsidiary of BASF (ticker: BAS), will collectively cover 50% of the project, or 10% per company. The remaining 50% cost of the pipeline will be paid by Gazprom. The projected total cost is €9.5 billion, or US$10.31 billion. Gazprom will operate the completed pipeline.
Each company is expected to provide long-term funding of €285 million. Funds of up to €665 million will be provided to cover long and short-term funding and guarantees.
Nord Stream 2 will stretch from the Narva Bay in Russia to Lubmin, Germany, traveling under the Baltic Sea. The pipeline will be one of the longest underwater pipelines at 750 miles. The new pipeline mostly runs parallel with the existing Nord Stream pipeline.
Similar to the first Nord Stream pipeline, Nord Stream 2 will have two individual lines with a combined capacity of 5.32 Bcf/d. The four individual pipes will deliver a combined capacity of 10.64 Bcf/d of gas to European markets.
