First, it was America against Russia, then Europe against Russia, then Europe against Europe. The saga around Gazprom’s 866 km, €9.5 billion Nord Stream 2 pipeline running directly from Russia to Germany has become a geopolitical dance threatening a new cold war not only between the US and Putin but between members of the European Union, writes Fair Energy Director Peter Wilding.
The US Congress is now poised to pass a sanctions regime which will jeopardise investment in Nord Stream 2. The new broadside from Washington could renew worries among foreign investors in the project. Many companies, such as oil major ExxonMobil, suspended Russian investment projects while banks cut off financing to local businesses. The most prominent target is the contentious Nord Stream 2 pipeline, which may start pumping gas from Russia to Europe in 2019, and is a flagship project for Kremlin-controlled gas monopoly Gazprom.