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Tuesday, 02 December, 2008, 03:40 GMT | more >>

Tallinn rejects Nord Stream survey bid



By Upstream staff 

Estonia has rejected an application to survey the seabed in its maritime economic zone by the German-Russian gas pipeline player Nord Stream, which is building the Baltic Sea gas pipeline.

"The government decided at today's Cabinet meeting not to agree to giving a permit to Nord Stream survey request," Reuters quoted a government press office statement as saying.

"Because the results of drilling work on the continental shelf will give information about Estonia's natural resources and their possible use, the Estonian government has the right to reject the research application," the statement added.

The subsea survey application was requested by Nord Stream, which is majority owned by Russian gas giant Gazprom. Germany's BASF and E.ON have minority stakes.

The request to carry out the survey in Estonian waters was submitted on 31 May, although the published planned route shows the pipeline would avoid Estonian waters, which are sandier and flatter than the proposed route in Finnish waters.

The Nord Stream pipeline, which will take Russian gas under the Baltic Sea, is due to begin pumping 27.5 billion cubic metres of gas per year to Europe in 2010, with a second pipeline later doubling capacity to 55 Bcm per year.

It is estimated to cost at least €5 billion ($6.74 billion).

The planned pipeline has met opposition from environmentalists. Some Baltic Sea governments have also expressed opposition, particularly Poland and Lithuania.

They have asked the European Commission to fund a study for an overland route.


Thursday, 20 September, 2007, 09:24 GMT  | last updated: Thursday, 20 September, 2007, 09:31 GMT

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