facebook
twitter
search
search

Nabucco in finance talks with EIB

Oct. 22, 2009 at 11:22 AM
Sign up for our Energy Newsletter

VIENNA, Oct. 22 (UPI) -- Nabucco Gas Pipeline International GmbH announced it entered into talks with European banks to determine the key financing parameters for its gas pipeline.

"Nabucco has started detailed discussions with the European Investment Bank and the European Bank for Reconstruction and Development and will soon also enter into a dialogue also with the International Finance Corporation," said Reinhard Mitschek, managing director of the Nabucco gas pipeline consortium.

The director explained the talks aim to determine the financing parameters for the project, adding the most important objective is to keep lenders informed about the environmental and social impact assessment of the project.

Nabucco will need a varied set of international lenders to back the $11.7 billion project, including capital from the six consortium partners.

"We expect that next year the scope of involvement of the individual lenders will become clear," said Mitschek.

The Nabucco gas pipeline will run for more than 2,000 miles from Turkey through Bulgaria, Romania and Hungary to Vienna.

Europe aims to break Russia's grip on the regional energy sector with Nabucco, though the project lacks firm commitments from potential alternative gas suppliers.

Related UPI Stories
Latest Headlines
Trending Stories
Chelsea Clinton accidentally calls Bernie 'President Sanders'
Watch every star-studded Super Bowl commercial of 2016
Susan Sarandon responds to Piers Morgan criticizing cleavage
Two Virginia Tech students plotted 13-year-old's death, prosecutors said
Colin Powell, Condoleezza Rice got classified email on private accounts