The Nabucco gas group, a consortium of companies looking to build a pipeline to supply Caspian natural gas to Europe, has revealed that it has broken off talks with French energy heavyweight Total because of negotiation disagreements, The Turkish Daily News has reported.
The group of firms is in the process of looking to secure a sixth partner to realize the pipeline project and Total had been in the prime position to secure the slot. However, talks have broken down and now the Nabucco group is now looking elsewhere for investment, the Turkey Daily has reported, quoting an unnamed Turkish official as its source.
Reports suggest that the consortium already has an alternative lined up, with talks in process to bring the unnamed firm into the $6 billion Nabucco project.
Current partners in the Nabucco project are Austria’s OMV, Hungary’s MOL, Turkey’s Botas, Bulgaria’s Bulgargaz and Romania’s Transgaz. Construction is slated to start this coming summer.
The pipeline scheme is popular with the EU because it would provide Europe with a non-Russian gas source, which would help to minimize the detrimental effects of future Russian gas transmission problems.