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Released January 06, 2020 | GALWAY, IRELAND
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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland)--Work on the Russian-led Nord Stream 2 gas pipeline that will bring Russian gas into Europe has ground to a halt after the U.S. imposed sanctions on any company working on the project.
Swiss-based pipe-laying and decommissioning firm Allseas, which is responsible for pipe-laying on the Nord Stream 2 and TurkStream gas transit projects, announced it has stopped working on both projects to comply. Both of the Allseas pipe-laying vessels Pioneering Spirit and Solitaire--the biggest vessels of their class in the world--were key to finishing the 9.6 billion-euro ($10.5 billion) Nord Stream 2, which is three quarters complete. Pioneering Spirit is 382 metres long and 124 metres wide, and hosts an international crew of 570, whereas Solitaire is 300 metres long and 41 metres wide with a 420-strong crew.
Nord Stream 2 consists of two parallel pipelines running 1,230 kilometers (km) for the transport of gas from Russia via Germany to Europe. It passes through Finnish, Swedish, Danish and German marine areas before going ashore at the German coast. The pipelines can transport 55 billion cubic meters (bcm) of natural gas per year, doubling the capacity of the existing Nord Stream pipeline. Before the sanctions came into effect, they were denounced by Germany.
"In anticipation of the enactment of the National Defense Authorization Act (NDAA), Allseas has suspended its Nord Stream 2 pipelay activities," the company revealed in a short statement. "Allseas will proceed, consistent with the legislation's wind down provision and expect guidance comprising of the necessary regulatory, technical and environmental clarifications from the relevant US authority."
The NDAA Act of 2020 requires the U.S. Treasury to identify top executives and major shareholders in any firm providing pipe-laying to Nord Stream 2 or TurkStream. Going against the sanctions means that designated individuals would be personally banned from the U.S. and the Treasury could freeze their U.S. assets.
Germany's Chancellor Angela Merkel commented: "We are against extraterritorial sanctions and not just since this decision--we also have this problem with a view to Iran."
Dmitry Peskov, Russian President Vladimir Putin's spokesman, said: "Such actions are a perfect example of unfair competition, an attempt to artificially secure dominance in European markets by imposing more expensive and uncompetitive products--more expensive natural gas--on European consumers."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
Swiss-based pipe-laying and decommissioning firm Allseas, which is responsible for pipe-laying on the Nord Stream 2 and TurkStream gas transit projects, announced it has stopped working on both projects to comply. Both of the Allseas pipe-laying vessels Pioneering Spirit and Solitaire--the biggest vessels of their class in the world--were key to finishing the 9.6 billion-euro ($10.5 billion) Nord Stream 2, which is three quarters complete. Pioneering Spirit is 382 metres long and 124 metres wide, and hosts an international crew of 570, whereas Solitaire is 300 metres long and 41 metres wide with a 420-strong crew.
Nord Stream 2 consists of two parallel pipelines running 1,230 kilometers (km) for the transport of gas from Russia via Germany to Europe. It passes through Finnish, Swedish, Danish and German marine areas before going ashore at the German coast. The pipelines can transport 55 billion cubic meters (bcm) of natural gas per year, doubling the capacity of the existing Nord Stream pipeline. Before the sanctions came into effect, they were denounced by Germany.
"In anticipation of the enactment of the National Defense Authorization Act (NDAA), Allseas has suspended its Nord Stream 2 pipelay activities," the company revealed in a short statement. "Allseas will proceed, consistent with the legislation's wind down provision and expect guidance comprising of the necessary regulatory, technical and environmental clarifications from the relevant US authority."
The NDAA Act of 2020 requires the U.S. Treasury to identify top executives and major shareholders in any firm providing pipe-laying to Nord Stream 2 or TurkStream. Going against the sanctions means that designated individuals would be personally banned from the U.S. and the Treasury could freeze their U.S. assets.
Germany's Chancellor Angela Merkel commented: "We are against extraterritorial sanctions and not just since this decision--we also have this problem with a view to Iran."
Dmitry Peskov, Russian President Vladimir Putin's spokesman, said: "Such actions are a perfect example of unfair competition, an attempt to artificially secure dominance in European markets by imposing more expensive and uncompetitive products--more expensive natural gas--on European consumers."
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Our European headquarters are located in Galway, Ireland. Follow IIR Europe on: Facebook - Twitter - LinkedIn For more information on our European coverage send inquiries to info@industrialinfo.eu or visit us online at Industrial Info Europe.
