Alexander Medvedev, Gazprom's vice-president, proposed that German energy utility RWE (Rheinisch-Westfälisches Elektrizitätswerk AG) should become part of South Stream, writes Handelsblatt, quoting sources close to the negotiations.
RWE, the second largest electricity producer in Germany, is already a member of the Nabucco consortium (see 'Background').
Should Gazprom succeed in ousting RWE from the Nabucco consortium, the EU-favoured project would be pronounced dead, the German press wrote.
However, experts quoted by Russian daily Vzglyad say it will not be easy for Gazprom to convince RWE, not to mention compensate it for the profit it would secure from the Nabucco project.
The political consequences of such a move cannot be neglected either, they claim.
"A company that leaves the [Nabucco] consortium should realise all the consequences, and this is why I doubt that the RWE leaders would take such a step," said Alexander Filimonov, an expert at consultancy Business Systems Development (RBS).
Viktor Markov, senior analyst at investment firm Zerich Capital Management, takes the opposite view. He claims many companies are willing to join South Stream as the project looks viable. In his view, Nabucco is not really a rival to South Stream, as the EU-backed project lacks sufficient gas supplies.
"By inviting different companies to join South Stream, Gazprom tries to get access to the final user in Germany. This is why if Gazprom and RWE were to find common interests for cooperation, the German company would join South Steam," he said.
