Gazprom becomes 100% owner of abandoned South Stream gas pipeline

Gazprom has signed an agreement with Eni (20%), EDF (15%) and Wintershall (15%) to acquire their 50% stake in South Stream Transport B.V.

The total share of Gazprom in the company of South Stream Transport B.V. will be 100%.

South Stream Transport B.V. was established to develop the South Stream offshore gas pipeline from Anapa in Russia to Varna in Bulgaria.

The South Stream offshore pipeline through the Black Sea is an infrastructure project that aims to secure energy supplies to central and south-eastern Europe in a reliable and sustainable way. It is a long-term solution to provide 63 billion cubic meters of Russian gas to consumers and industries with reliable energy supplies at a competitive price, and supports the EU in achieving its climate policy goals.

The total project investment was estimated at €23.5 billion (US$29.5 billion).

According to Russia's President Vladimir Putin, Russia was forced to cancel South Stream because the EU didn’t support the project. European companies could lose about €2.5 billion from the cancellation.