Nabucco’s conception change becomes main reason for RWE exit

Azerbaijan, Baku, Dec. 10 / Trend A.Badalova/

The main reasons for Germany's RWE withdrawal from Nabucco project are most likely a reevaluation of the project and a strategy revision, Editor-in-Chief at Eurasia Energy Observer, Andrej Tibold believes.

"The whole concept of the initial Nabucco pipeline has been changed and downgraded in size and length to the so called Nabucco-West variant," Tibold told Trend via e-mail.

Its effect, Tibold believes, will remain limited mostly to the South Eastern European market and not significantly affect the Northern and Central Europe, where RWE's main market is.

Last week Austrian OMV CEO Gerhard Roiss confirmed the information about being in talks with RWE over stake in Nabucco project. Earlier it was reported that German utility RWE may quit Nabucco West and sell its stake in the project to OMV. A possible deal to transfer German utility's stake could happen before the end of the year.

However, according to Roiss, RWE exit won't affect viability of pipeline project, Bloomberg reported. "It is not an issue of control, it's an issue of investment. The shareholders of Nabucco at the end will be the ones who have the gas," Roiss said.

In May, 2012 RWE's official told Trend that the utility analyses the conditions of Nabucco gas pipeline project's new version (Nabucco West) and its ability to meet Europe's strategic goals, adding that the plans for new pipeline projects change general conditions for Nabucco project.

With regard to the chances of Nabucco West to be selected as a final route to transport Caspian gas to Europe, Tibold believes that the economics of the project will play a key role in it.

From a perspective of supply diversification, Nabucco-West is obviously most welcome, but the Shah Deniz shareholders will look at the transport tariffs and the prices offered by customers, Tibold said.

Nabucco-West envisages the construction of 1,300 km of pipeline (Bulgaria: 412 km, Romania 469 km, Hungary 384 km, Austria 47 km) from the Turkish-Bulgarian border to the Austrian Baumgarten. Shareholders include Austrian OMV, Hungarian FGSZ, Bulgarian Bulgargaz, Romanian Transgaz, Botas of Turkey and Germany's RWE.

The consortium of Azerbaijani Shah Deniz gas foeld development plans to make its selection betwee Nabucco West and Trans Adriatic Pipeline (TAP) in 2013.

Azerbaijani public reveres memory of martyrs of Karabakh conflict (PHOTO)
Azerbaijani public reveres memory of martyrs of Karabakh conflict (PHOTO)
“Ural Airlines” to take citizens of the Russian Federation out of Azerbaijan
“Ural Airlines” to take citizens of the Russian Federation out of Azerbaijan
Azerbaijan was rooting for us – National gymnastics team member (PHOTO)
Azerbaijan was rooting for us – National gymnastics team member (PHOTO)
Loading Bars
Latest
Azerbaijani, Bulgarian FMs discuss bilateral cooperation
Azerbaijani public reveres memory of martyrs of Karabakh conflict (PHOTO)
Electricity Market Concept Design defines gradual retail market opening in Georgia
Import of rice by Azerbaijan up
Baku Metro opens tender to buy tire connections
French parliament loses ability to be serious partner – Turkish Grand National Assembly
Investments in Georgian Poti Free Industrial Zone diversified by regional countries
Iran's next years budget unlikely to improve economy - Head of Parliament Plan and Budget Commission
Azerbaijan raises value of imports from Lithuania in 10M2020
Big foreign IT companies entering Georgia's market
Azerbaijan's Compulsory Insurance Bureau compensating bankrupted insurer's creditors
Georgia sees increase in tangerines export
Azerbaijan shows video footage from Yanshag village of Kalbajar district (VIDEO)
EDB, KazakhExport to jointly insure exports of insulated cars from Kazakhstan
Georgian Chamber of Commerce working on several projects to help SMEs
Azerbaijan's irrigation company to finance power supply of crop areas
Turkmenistan builts new mosque in Afghanistan's Akina town (PHOTO)
Azerbaijani, Latvian FMs exchange views on current situation in region
International organizations aim to finance road construction and repair in Georgia
Georgia sees increase in imports of dairy products
Azerbaijan unveils 10M2020 railway export operations
EDB to fund investment projects in priority sectors of Kazakhstan Development Bank
Azerbaijani FM receives Belarusian ambassador amid completion of his diplomatic mission (PHOTO)
Azerbaijani Foreign Ministry delivers diplomatic note to French ambassador
Global debt to hit $200 trillion - S&P Global
Turkmengas opens tender for purchase of general equipment
Ankara honors memory of Azerbaijan's martyrs (PHOTO)
First Vice-President Mehriban Aliyeva: We will never forget Patriotic War martyrs (PHOTO)
Azerbaijan applies Lithuanian company's hotel management system project
“Ural Airlines” to take citizens of the Russian Federation out of Azerbaijan
Serbia to pay off loan received from Azerbaijan for road construction
Turkish export cargo to China to pass through Port of Baku
Uzbekistan Airways resumes flights to Kazakhstan’s Nur-Sultan
SOCAR Ukraine's aviation fuel imports for November
Surge in COVID-19 cases reported at Kazakhstan's Tengiz oil field
Turkish president supports Azerbaijani counterpart’s recommendation to France
SOCAR expands its activities in Ukraine
Iran – UK trade could improve by money transfer facilities
Turkey records more Uzbek companies in 10M2020
Budget of Georgia Ministry of Regional Development and Infrastructure to be highest
Rostelecom increases capacity of Uzbektelecom's access to Russian segment of Internet
Central Bank of Azerbaijan eyes to raise funds on Bloomberg trading platform
Azerbaijan was rooting for us – National gymnastics team member (PHOTO)
Azerbaijan ramps up goods exports via stationary transport
UAE’s activity on Turkmenistan’s exchange in November
Azerbaijan confirms 4,267 new COVID-19 cases, 2,566 recoveries
Kazakhstan Development Bank to co-op to promote EAEU integration
Karabakh to become ecotourism center of regional importance - Association of Hotels and Restaurants of Azerbaijan
Oil moves up towards $50/bbl after OPEC+ supply compromise
Number of COVID-19 infections in Russia increases by 27,403 in 24 hours
Turkish minister to get acquainted with construction progress of Kars logistics center
International law firms enter Georgian market
EU urges countries to keep COVID in check over festive season
Baku cathedral parishioners honor memory of martyrs of Azerbaijan's Patriotic War (PHOTO)
Bank of Israel intervenes in foreign exchange market
Turkey, Iran commemorating Azerbaijani martyrs of Patriotic War
Uzbekistan’s volume of media market up in 2021
Kazakhstan, Russia agree on steps to expand co-op in geology
Iran-Iraq Joint Trade Commission to be established soon
Karabakh can become leading IT Hub in South Caucasus, says Azerbaijani analyst
Kazakhstan to launch manufacturing of Russian anti-COVID vaccine before year-end
Ganja honors memory of martyrs of Azerbaijan's Patriotic War (PHOTO)
Substantial NATO-Georgia Package updated at meeting of NATO Ministers of Foreign Affairs
Belonging of Nagorno-Karabakh region determined upon relevant UN Security Council’s resolutions - press secretary of Russian president
UNHCR reveals details of joint meeting with Turkmenistan to end statelessness
Kazakhstan ups trade with Turkey for 10M2020
EBRD reduces its equity stake in Georgian TBC Bank
TAP to hold market test to double capacity
Second Karabakh war - brightest page in national memory of Azerbaijan, says Russian cleric
Azerbaijan presents musical composition commemorating martyrs of Patriotic War (VIDEO)
Amnesty International unveils photo proof of Armenian-inflicted damage in liberated Kalbajar (PHOTO)
Iran to increase revenue by development of gas transmission
Energy Commission of Iranian Chamber of Commerce discusses oil revenue forecast
9 Azerbaijani gymnasts return from European Championships with medals - head coach
Ukraine to continue supporting Azerbaijan's territorial integrity
Mountain Jewish Community honors memory of martyrs of Azerbaijan’s Patriotic War (PHOTO)
UNHCR talks cooperation with Turkmenistan on fight against statelessness
ENI to support activities of center to develop oil&gas engineering in Kazakhstan
Beeline mobile operator working in Khankendi city - fake news, Russian web portal says
Azerbaijan Banks Association to develop digital payment ecosystem
Trade takes up largest share in total turnover of Georgian business sector
Uzbekistan considers production of Bentley electric vehicles
Iran's Minister of Petroleum discusses OPEC+ meetings
Kazakhstan more than doubles petroleum oil exports to Croatia
Caspian Drilling Company updates on Satti rig upgrade
Gold price in Azerbaijan up
Kazakhstan, Austria trade turnover down year-on-year
Turkmenistan exploring possibility of producing cement from local raw materials
Turkmenistan working to maintain technical condition of gas pipelines
OPEC+ decision: Oil glut could be hitting the market soon
Georgia hits record high COVID-19 daily cases
Azerbaijan Banks Association implementing new banking services project
Georgia plans to subsidize the interest on leasing for event companies
Georgian business sector shows downward trend in production
German industrial orders rise more than expected in October
Azerbaijan launches joint ATM network of commercial banks
Clients of closed banks in Azerbaijan continue receiving compensations
Kazakhstan doubles exports to Croatia despite COVID-19 pandemic
Any threats against Azerbaijan's territorial integrity must be averted, Erdogan tells Rouhani
Azerbaijan commemorates bright memory of martyrs with minute of silence (VIDEO)
All news