Russia Presses Ahead With Plan for Gas Pipeline to Turkey

LONDON — President Vladimir V. Putin surprised the world in December when he aborted long-laid plans for a natural gas pipeline under the Black Sea to Europe, saying Russia would run pipes to Turkey instead.

Many in the West thought it might be merely a bluff, to make the European Union reconsider its opposition to the pipeline project, known as South Stream. But in recent weeks, the Russian state-owned company Gazprom has shown signs that it is serious about proceeding with what it calls Turkish Stream.

Gazprom quickly bought out its European partners in South Stream Transport, the Amsterdam company that was to build the Black Sea leg of the pipeline. And the chief of that Dutch company has petitioned the Netherlands government to let it keep working with Gazprom, despite European sanctions against Russia over the invasion of Ukraine.

On the Turkish front, Gazprom is actively negotiating with government officials — who are said to be driving a hard bargain — while trying to buy into a leading Turkish gas distribution company.

Gazprom said in December it would cancel the South Stream gas pipeline and replace the Black Sea portion of it with a pipeline to Turkey.

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South Stream Transport declined to comment on the letter. A Dutch Foreign Ministry spokeswoman said that the government was “still studying the matter.”

Another potential sticking point is Turkey itself. For one thing, the country obtains about 60 percent of its gas from Russia, a dependence the government is not necessarily eager to increase.

Talks between Russian and Turkish officials on matters like the precise route and financial terms of a deal are said to be proceeding slowly. That is partly because the Turkish government appears to be trying to use Gazprom’s need for a face-saving alternative to South Stream as leverage to negotiate lower prices for Russian gas, according to a Turkish official, who spoke on the condition of anonymity because of the sensitivity of the negotiations.

Turkish officials also presumably have leverage because they know that if Gazprom cannot proceed quickly with the Turkish route and continues to pay idle contractors, a lot of the potential cost savings may be lost.

Mr. Putin already publicly offered a 6 percent reduction to Turkey. But Ankara, which pays substantially more for Russian gas than Germany does, is pressing for a better deal.

“Nothing is being discussed while we have not achieved a desirable discount on gas prices,” the Turkish official said.

Stanley Reed reported from London and Sebnem Arsu from Istanbul.

The New York Times