Iran Plans to Build new Gas Pipeline to Europe Further Trouble for European Union's Nabucco Gas Pipeline
Iran, which has the world’s second largest gas reserve in the world after Russia, is planning to build the $4 billion Pars gas pipeline to Europe, which will have as its rivals the European Union backed Nabucco pipeline and Russia’s South Stream pipeline. The diameter of the pipeline would be around 56 inches with an initial designed capacity of 37 billion cubic meters (Bcm) per annum. The volume of gas that Iran will be supplying to South and Central European countries will be 20% more than its rivals Nabucco and South Stream. Iran plans to come up with a new route to pump its gas from its border point of Bazargan to Turkey. Turkey will then connect this pipeline with its own gas transmission pipeline and the gas will pass on to Greece, then to Italy and via Switzerland to Austria and Germany. Iran will avoid the Eastern European route as many countries in this route are participants in the Nabucco and South Stream pipeline projects. Iran also wants to avoid territories with considerable presence of Russian gas monopoly – Gazprom. This pipeline deal is an answer to the UN sanction on Iran and also to the European Union that has announced that it does not need Iranian gas for its Nabucco pipeline.
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