NABUCCO project might become more expensive
By Messenger Staff
Thursday, February 24There are many factors which could increase the cost of the NABUCCO project. As it is known, NABUCCO planners rejected purchasing Iranian gas because of its nuclear power problems. Instead, discussed the possibility of filling NABUCCO pipeline with natural gas from Iraq was explored, but this would mean the construction of an extra pipeline, measuring over 500km. Initially, the NABUCCO project cost was estimated at around Euro 8 bln. The estimate was made in the beginning of 2007 but since then the price of oil, metal and other services have considerably increased. According to the preliminary assessment made by some service companies, the price of the NABUCCO project will exceed Euro 12 bln. There could also be the added cost of constructing the Iraq segment of the pipeline which will further increase the price. It should be considered as well that most of the Iraqi territories are mountainous regions which will add to the difficulty and expense of the project.