Lloyd's and Arch: it will take three years to restore Nord Stream

The blown-up Nord Stream can be restored in about three years, subject to timely financing, the absence of significant delays and force majeure circumstances.

This opinion was expressed by insurers Lloyd's Insurance Company and Arch Insurance in The High Court of London, where they are challenging the payment of compensation to the pipeline operator. This is stated in the materials of the court.

According to the defendants, the repair will require the purchase of new pipes worth tens of millions of euros and, possibly, the involvement of the Russian side in the repair, which has the necessary pipe-laying vessels.

Insurers believe that the implementation of the project may take about 36 months — this is the design of works, obtaining permits, purchasing materials, mobilizing contractors and carrying out the repair itself.

Lloyd's and Arch are challenging in court the requirement to pay compensation to the gas pipeline operator, citing the fact that, according to the contract, damage related to the war and the actions of government agencies is not covered.

The trial concerns the damage caused to the gas pipeline as a result of explosions in the economic zones of Sweden and Denmark in the Baltic Sea in September 2022. The operator of Nord Stream requires insurance compensation in excess of € 570 million.

The owner and operator of the gas pipelines is the Swiss company Nord Stream AG, whose main shareholder is the Russian Gazprom (51%), and the remaining shares before the imposition of sanctions belonged to German, French and Dutch companies.

As reported by EADaily, earlier the head of the RDIF Kirill Dmitriev said that the technical possibility of restoring the Nord Streams gas pipelines exists and that "sound forces in Europe" want this.