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US reimposes sanctions on entities involved in Nord Stream 2 construction

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US reimposes sanctions on entities involved in Nord Stream 2 construction
Landfall pipes of the Nord Stream 2 pipeline in Russia on Sept. 23, 2021. (Nord Stream 2 / Nikolai Ryutin)

The U.S. reimposed sanctions against a number of entities involved in the construction of the Nord Stream 2 gas pipeline, the U.S. State Department announced on Dec. 18.

Washington imposed sanctions on entities previously sanctioned under the Protecting Europe’s Energy Security Act (PEESA) for their involvement in the pipeline's construction, as well as several new owners of vessels previously blocked under PEESA.

The Nord Stream 2 was meant to funnel Russian gas to Germany via the Baltic Sea. Berlin has been heavily criticized by Ukraine, the U.S., and other partners for the project, which they said would deepen Germany's energy dependence on Russia.

The U.S. sanctions list includes 11 Russian companies, including Nord Stream 2 AG, the project operator that provided insurance to the project's companies, and Matthias Warnig, the former CEO of Nord Stream 2 AG.

"We’re going to continue to work and ensure that Russia is never able to weaponize its energy resources and its energy positioning for political gain again," U.S. State Department spokesperson Vedant Patel told reporters on Dec. 18.

The construction of the Nord Stream 2 pipeline was almost completed when Russia began concentrating its forces near Ukraine's border in late 2021 and early 2022 Ukraine for the full-scale invasion.

In September 2022, the Nord Stream 1 and 2 underwater pipelines connecting Russia to Germany were blown up under unclear circumstances.

Investigations have been ongoing since then but have yet to produce a definitive conclusion regarding the cause of the explosions. Moscow and the West have traded blame for the incident.

German investigators reportedly issued an arrest warrant for a Ukrainian national, believed to be part of the group that blew up the pipeline, the German media reported in August. Kyiv has denied any involvement.

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