Uniper Warns of Potential Nord Stream 2 Loan Write-Off in 'Worst-Case Scenario'
August 11 2020 - 12:01PM
Dow Jones News
By Olaf Ridder and Giulia Petroni
Uniper SE might have to write off a loan provided to a Russian
natural gas pipeline known as Nord Stream 2, the company said
Tuesday citing the threat of U.S. sanctions that could derail the
project.
"We view the development around the sanctions with concern,"
Chief Executive Andreas Schierenbeck said, though added that Uniper
wouldn't be directly hit by the sanctions.
The German utility said the project collapse is seen as "the
worst-case scenario" and it instead expects the pipeline to be
completed in spite of increasing political resistance.
The U.S. has been trying to thwart the project connecting Russia
to Central Europe, arguing it would increase Europe's dependency on
Moscow. U.S. Secretary of State Mike Pompeo last month lifted a
proviso that exempted the pipeline from sanctions.
Together with Royal Dutch Shell PLC, OMV AG, Engie SA and
Wintershall AG, Uniper has provided funding to the pipeline, which
is owned by Russia's gas export monopoly Gazprom PJSC.
Write to Olaf Ridder at olaf.ridder@wsj.com and Giulia Petroni
at giulia.petroni@wsj.com
(END) Dow Jones Newswires
August 11, 2020 11:46 ET (15:46 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
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