US mulls 5 types of sanctions for insuring N Stream-2 vessels

WASHINGTON, Jun 3 (PRIME) – The bill introducing sanctions for provision of ships for Russia to build the Nord Stream-2 gas pipeline includes five types of sanctions for insuring the vessels, it said on June 1.

“The President may impose five or more of the sanctions described in paragraph 2 with respect to a foreign person if the President determines that the person knowingly, on or after the date of the enactment of this Act, provides underwriting services or insurance or reinsurance for a vessel identified under subsection a,” the document read.

The sanctions include denial of export licenses by the U.S. authorities, prohibition to take loans for more than U.S. $10 million within 12 months, prohibition to work with the U.S. state debt or federal budget, prohibition to make transactions in the zone of the U.S. jurisdiction and deals with real estate. The employees of the companies providing the services may be expelled from the U.S.

The U.S. Senators asked the State Department to assess the influence of Russia’s Nord Stream-2 on the policies of Ukraine and Germany and to collect data about every company involved in construction and services to Nord Stream-2.

The bill also contains a plan of a strategy to counteract Russia’s energy dominance in Europe, “The strategy required by subsection A shall include elements: to deepen the role of U.S. diplomacy in Europe and the Middle East in enhancing the energy security of allies of the U.S. in Europe. To counter efforts by the Russian Federation to establish energy dominance over Europe; and to improve the resilience of energy infrastructure of such allies.”

The Nord Stream-2 project envisages construction of two lines of a natural gas pipeline with an annual capacity of up to 55 billion cubic meters, running from the Russian shore to Germany under the Baltic Sea. Russian gas giant Gazprom is implementing the project together with Germany’s E.ON and BASF, Royal Dutch Shell, OMV, and France’s Engie.

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