Standart News: South Stream end point increasingly uncertain between Italy and Austria

The South Stream gas pipeline project is not frozen, Italy said on Wednesday, denying an earlier report quoting a government source, Reuters reports. However, the European end point of the pipeline is becoming increasingly uncertain with Austria's recent active support and Italy's second thoughts.

A government source told Reuters earlier on Wednesday that the project, which would bring Russian gas into Europe bypassing Ukraine, had effectively been put on ice in Italy. "The additional Italian spur option was effectively ditched. Gas will now be delivered to the Austrian hub, from where it could go to many destinations in Europe along the existing pipelines," one of the sources said.

Gazprom's South Stream project proceeds despite escalating tensions over Ukraine, with the company's management betting on Austria's endorsement to overcome the hurdles posed by European institutions and possible frictions with Italy's Eni.
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