Identifier
Created
Classification
Origin
09MOSCOW2784
2009-11-13 10:32:00
CONFIDENTIAL
Embassy Moscow
Cable title:
"NO TANGIBLE RESULTS" ON SOUTH STREAM DURING
how-toVZCZCXRO7054 PP RUEHDBU RUEHFL RUEHKW RUEHLA RUEHNP RUEHROV RUEHSL RUEHSR DE RUEHMO #2784 3171032 ZNY CCCCC ZZH P 131032Z NOV 09 FM AMEMBASSY MOSCOW TO RUEHC/SECSTATE WASHDC PRIORITY 5387 INFO RUCNCIS/CIS COLLECTIVE PRIORITY RUEHZL/EUROPEAN POLITICAL COLLECTIVE PRIORITY RUEHXD/MOSCOW POLITICAL COLLECTIVE PRIORITY RHEHNSC/NSC WASHDC PRIORITY RHMFISS/DEPT OF ENERGY WASHINGTON DC PRIORITY RUCPDOC/DEPT OF COMMERCE WASHDC PRIORITY
C O N F I D E N T I A L MOSCOW 002784
SIPDIS
DEPT FOR EUR/RUS, EEB/ESC/IEC GALLOGLY AND GREENSTEIN,
S/EEE MORNINGSTAR
DOE FOR HEGBURG, EKIMOFF
DOC FOR JBROUGHER
NSC FOR MMCFAUL
E.O. 12958: DECL: 11/12/2019
TAGS: EPET ENRG ECON PREL RS AU
SUBJECT: "NO TANGIBLE RESULTS" ON SOUTH STREAM DURING
AUSTRIAN CHANCELLOR'S VISIT
REF: VIENNA 1401
Classified By: EconMinCouns Matthias J. Mitman, Reasons 1.4 (b,d)
C O N F I D E N T I A L MOSCOW 002784
SIPDIS
DEPT FOR EUR/RUS, EEB/ESC/IEC GALLOGLY AND GREENSTEIN,
S/EEE MORNINGSTAR
DOE FOR HEGBURG, EKIMOFF
DOC FOR JBROUGHER
NSC FOR MMCFAUL
E.O. 12958: DECL: 11/12/2019
TAGS: EPET ENRG ECON PREL RS AU
SUBJECT: "NO TANGIBLE RESULTS" ON SOUTH STREAM DURING
AUSTRIAN CHANCELLOR'S VISIT
REF: VIENNA 1401
Classified By: EconMinCouns Matthias J. Mitman, Reasons 1.4 (b,d)
1. (SBU) Following Prime Minister Putin's meeting with
visiting Austrian Chancellor Werner Faymann, media reports
cited Austrian "backing" of the proposed South Stream gas
pipeline project. As is often the case, however, the reports
appear to have been overblown. The visit did not produce any
final agreement, verbal or written, regarding South Stream.
During a joint press conference, Faymann merely stated that
"South Stream and other projects should not be mutually
exclusive," and indicated that South Stream is in Austria's
interests. In addition, Putin announced that Austria and
Russia intended to fast-track efforts to establish a
bilateral agreement for the construction of South Stream.
2. (C) Florian Groeder (protect),Political/Economic Officer
at the Austrian EMBASSY in Moscow, told us on November 12
that Chancellor Faymann's visit produced "no tangible
results" on South Stream. Groeder said the two sides only
"reiterated well-known positions." He added that the
proposed Nabucco gas pipeline, run by Austria's OMV, is his
government's clear priority over South Stream.
--------------
COMMENT
--------------
3. (C) As a foreign leader seeking better relations with
Russia, Chancellor Faymann appears to have made a few general
remarks regarding the future of South Stream, which were then
distorted by local media to imply Austrian support for the
project. Faymann's comments aside, it is difficult to see
how Nabucco and South Stream could both exist to serve a
European gas market that appears flooded for the foreseeable
future. Furthermore, given OMV's role in Nabucco, Russia
faces a tough sell on South Stream. In addition to Austria's
firm commitment to Nabucco, South Stream also faces daunting
financial, logistical, environmental, and other obstacles
that will likely prevent its completion anytime close to the
2015 target date, if ever.
Beyrle
SIPDIS
DEPT FOR EUR/RUS, EEB/ESC/IEC GALLOGLY AND GREENSTEIN,
S/EEE MORNINGSTAR
DOE FOR HEGBURG, EKIMOFF
DOC FOR JBROUGHER
NSC FOR MMCFAUL
E.O. 12958: DECL: 11/12/2019
TAGS: EPET ENRG ECON PREL RS AU
SUBJECT: "NO TANGIBLE RESULTS" ON SOUTH STREAM DURING
AUSTRIAN CHANCELLOR'S VISIT
REF: VIENNA 1401
Classified By: EconMinCouns Matthias J. Mitman, Reasons 1.4 (b,d)
1. (SBU) Following Prime Minister Putin's meeting with
visiting Austrian Chancellor Werner Faymann, media reports
cited Austrian "backing" of the proposed South Stream gas
pipeline project. As is often the case, however, the reports
appear to have been overblown. The visit did not produce any
final agreement, verbal or written, regarding South Stream.
During a joint press conference, Faymann merely stated that
"South Stream and other projects should not be mutually
exclusive," and indicated that South Stream is in Austria's
interests. In addition, Putin announced that Austria and
Russia intended to fast-track efforts to establish a
bilateral agreement for the construction of South Stream.
2. (C) Florian Groeder (protect),Political/Economic Officer
at the Austrian EMBASSY in Moscow, told us on November 12
that Chancellor Faymann's visit produced "no tangible
results" on South Stream. Groeder said the two sides only
"reiterated well-known positions." He added that the
proposed Nabucco gas pipeline, run by Austria's OMV, is his
government's clear priority over South Stream.
--------------
COMMENT
--------------
3. (C) As a foreign leader seeking better relations with
Russia, Chancellor Faymann appears to have made a few general
remarks regarding the future of South Stream, which were then
distorted by local media to imply Austrian support for the
project. Faymann's comments aside, it is difficult to see
how Nabucco and South Stream could both exist to serve a
European gas market that appears flooded for the foreseeable
future. Furthermore, given OMV's role in Nabucco, Russia
faces a tough sell on South Stream. In addition to Austria's
firm commitment to Nabucco, South Stream also faces daunting
financial, logistical, environmental, and other obstacles
that will likely prevent its completion anytime close to the
2015 target date, if ever.
Beyrle