Azernews.Az

BAKU – Russian Prime Minister Vladimir Putin has said Azerbaijan's volumes are "too small" for the Nabucco pipeline that seeks to export Caspian gas to Europe and reminded that Azerbaijan has signed a delivery contract with Russia.

In a meeting on Monday with the members of Valdai international discussion club, Putin said Iranian deposits could also be used as a source for Nabucco but they are not explored.

Another option could be gas from Turkmenistan, but the Central Asian state is working to open a route for its exports to China instead, the Russian prime minister said.

Putin cited as another hurdle to Nabucco the dispute between Turkmenistan and Azerbaijan on the division of the Caspian seabed.

"If we take into account all these conditions, in my opinion, Nabucco is hard to materialize. And I am saying it softly – perhaps, it is impossible altogether."

Putin added however that he did not entirely rule out the realization of Nabucco, especially if massive investment was forthcoming.

The Nabucco pipeline project aims to decrease the European Union’s dependence on Russian imports by bringing Caspian gas to a hub in Austria via the Balkans. The gas would be shipped to Europe via Turkey, Bulgaria, Romania and Hungary. Construction of Nabucco is due to begin in 2012 and the first gas is to flow in 2015.

The project, worth 7.9 billion euros, is managed by the Vienna-based Nabucco Gas Pipeline International. Partners in the consortium with equal stakes are Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE.