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UPDATE 1-U.S. sanctions preventing Russian project financing - OMV CEO

UPDATE 1-U.S. sanctions preventing Russian project financing - OMV CEO
From Reuters - September 13, 2017

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By Vladimir Soldatkin

MOSCOW, Sept 13 (Reuters) - U.S. sanctions have made financing large Russian projectsalmost impossible, the chief executive of Austrian energy company OMV, which has invested in the Nord Stream-2 trans-Baltic gas pipeline project, said on Wednesday.

Washington imposed new sanctions, several targeting Russias energy sector, last month to punish Moscow over alleged interference in the 2016 U.S. presidential election and the annexation of Ukraines Crimea.

The financing of such large infrastructure projects becomes almost impossible after the introduction of such sanctions, OMV CEO Rainer Seele was quoted as saying by Interfax.

The Russian state news agency also quoted Seele as saying that it was hard to raise project financing for 70 percent of the costs and that partners in the Nord Stream-2 project were ready to provide bridge financing if necessary.

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