Merkel "backs Bulgaria to seek new talks" on S. Stream

Merkel "backs Bulgaria to seek new talks" on S. Stream

At the moment, "the West and Russia have signed many contacts," she said, according to the Russian agency, adding that "all unresolved problems on the project should be discussed 'rather reasonably'," and noting that "representatives of German economy have experience for cooperating with Russia as with a reliable partner."

Reuters is reporting that Merkel "backed Bulgaria on Monday in its bid to seek new talks with Russia about the South Stream gas pipeline after Moscow shelved the project this month in favor of an alternative link via Turkey."

The agency notes that critics of the project said they believed it breached EU law, "but some EU member states saw the pipeline, which would bypass Ukraine, as the best way to secure their own gas supplies and economic interests and still hope it can be revived."

"We need to examine all legal questions surrounding the South Stream project and then use these to move discussions forward with Russia," Merkel said after talks Borisov in Berlin.

Borisov said after meeting Merkel he was "convinced that the problems could be resolved and hoped to receive clarification from Brussels on its views about the pipeline."

"We think the Russian and Bulgarian partners must continue on a legal basis, otherwise we would violate the contract, which was signed with Bulgaria rather than with the EU as a partner in 2006," he said.

Russian President Vladimir Putin "surprised Europe with his announcement during a visit to Turkey on December 1 that Moscow was scrapping South Stream, citing the EU objections as the reason," Reuters said, adding that "Putin accused the EU of denying Bulgaria, heavily dependent on Russian gas, its sovereign rights," and said that blocking the project "is against Europe's economic interests and is causing damage."

Other countries which stood to gain from South Stream, including Serbia and Hungary, also want to rescue the project, the agency said in its report.