Russia’s Nord Stream 2 never be launched with new U.S. sanctions – U. S. Senator
The second wave of restrictive measures was prepared “with surgical precision” to prevent the completion of the project, the Senator believes.
U.S. Republican Senator Ted Cruz says Russia’s Nord Stream 2 gas pipeline will never be launched if the United States slaps new sanctions on the project.
That is according to the Ukrainian online news outlet Obozrevatel, referring to Cruz’s statement published by USA News Today on December 16.
In particular, the Republican noted that the second wave of restrictive measures was prepared “with surgical precision to prevent the completion of construction” of the pipeline.
Cruz says that sanctions are aimed at operations on the construction of the gas pipeline. They affect the certification process and insurance companies.
“This project, in my opinion, will never be launched and gas will never be launched through the pipeline,” he said.
The Senator added that this is a “definite signal” for all international investors.
- Earlier, Bild reported that U.S. President-elect Joe Biden intended to put an end to the Nord Stream 2 project.
- The norms contained in the 2021 U.S. defense budget provide for sanctions aimed at insurance and certification companies participating in the implementation of Russia’s Nord Stream 2.
- In December last year, the U.S. Congress imposed sanctions on pipeline services to lay pipes for Nord Stream 2 at great depths. As a result, the Swiss company which was building the pipeline halted works immediately. Russia, on its part, has not given up efforts to find an alternative ship to complete the pipelaying.
- A new package of sanctions against Nord Stream 2 is intended to make such attempts futile.
Nord Stream 2: Memo
- The Nord Stream 2 project envisages the construction and operation of two gas pipeline branches with a total throughput capacity of 55 billion cubic meters of natural gas per year from the coast of Russia through the Baltic Sea to Germany. It should connect Russia’s Ust-Lug and Germany’s Greifswald. This new pipeline bypassing Ukraine is to be built next to the existing Nord Stream 1 pipeline.
- The construction of the pipeline was expected to be completed before the end of 2019.
- The pipeline will be 1,220 km long. The project is being implemented by Russia’s Gazprom in alliance with European companies – ENGIE, OMV, Royal Dutch Shell, Uniper, and Wintershall. Ukraine stands against the construction of Nord Stream 2, as it will most likely lose its status of a gas transit country, while its potential revenue losses are estimated at US$3 billion annually. The project is also highly criticized by the U.S., Poland, and the Baltic States.
- On July 15, U.S. Secretary of State Mike Pompeo warned that the participants in the Nord Stream 2 project would fall under the Countering America’s Adversaries Through Sanctions Act, CAATSA.
- On July 16, the U.S. recommended that investment companies reconsider their participation in the Nord Stream 2 gas pipeline project.
- On July 23, the U.S. Senate approved the draft National Defense Authorization Act for Fiscal Year 2021, which, among other things, contains additional sanctions against the companies involved in the construction of Nord Stream 2.
- Ukraine’s Foreign Ministry welcomed the United States’ readiness to impose sanctions on investment companies involved in the completion of the project.
- Norway’s risk management and quality assurance firm DNV GL has suspended work on Nord Stream 2 on fears of being sanctioned by the United States.