Ukraine to lose its role as gas transit country

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Russian energy giant Gazprom CEO Alexei Miller said Saturday that Ukraine would lose its role as a gas transit country due to the Nord Stream pipeline and a new pipeline to Turkey.

"In fact, the role of Ukraine as a transit country will be nullified," Miller said in an interview with Russia's Channel One Television.

"We will still deliver enough gas to Ukraine for its internal consumption. Europe will be receiving gas via alternative routes," he added.

According to Miller, the termination of the South Stream natural gas pipeline project envisages the change in Russian strategy on the European market.

the South Stream gas pipeline project has been abandoned.

"Our strategy is changing with regard to the European market. The decision to scrap South Stream is the end of our working model as we used to focused on delivering gas to the end consumers of the European market," RIA Novosti news agency quoted Miller as saying.

The CEO accused the European Union (EU) of its intentional delay and block of the project, claiming that Gazprom has no intention to reopen the project because of EU's unpredictable actions.

The project had to be stopped as Russia has not received the construction authorization from Bulgarian authorities, Miller said, adding that the infrastructure of the South Stream pipeline would be used in the pipeline to Turkey.

"Turkey is becoming a major transit country, through which over 50 billion cubic meters of gas will be transported. This would certainly elevate Turkey's geopolitical status in the region and make it another gas distribution hub in the south," Miller said.

Russian President Vladimir Putin said Monday that the South Stream gas pipeline, which was built to deliver Russian natural gas to Europe via the Black Sea to bypass Ukraine, had been dropped due to opposition from the EU. He also named Turkey as its preferred partner for an alternative pipeline.

Gazprom on the same day signed a preliminary agreement on building a new pipeline under the Black Sea to transport more Russian gas to Turkey.

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