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Medvedev touts South Stream

ROSTOV-ON-DON, Russia, June 2 (UPI) -- Russia has taken great strides to diversify its natural gas transit routes for European consumers, said Russian President Dmitry Medvedev in Rostov-on-Don.

Around 80 percent of Russian natural gas bound for Europe travels through Soviet-era pipelines in Ukraine. Although bilateral ties have improved with the new government in Kiev, Moscow cut gas supplies to Ukraine most recently in 2009 because of contract disputes between Russian gas monopoly Gazprom and Ukrainian energy company Naftogaz.

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That relationship led in part to a push to diversify the gas transit networks to Europe. Russia is busy with construction of its Nord Stream pipeline through the Baltic Sea and planning the South Stream network through the Black Sea.

Medvedev, during a summit with European leaders, said South Stream would contribute to European energy security, Russian news agency ITAR-Tass reports.

"We hope that the South Stream project can get the status of the trans-European energy network in the future," he said.

South Stream, Nord Stream and the European Nabucco pipeline all avoid Ukrainian territory.

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