Nabucco gas pipeline, EU’s “biggest and most ambitious project,” will test the political will of the union to win positions in Central Asia.

The region becomes increasingly important for the EU in attempts to reduce energy dependence on Russia, International Herald Tribune (IHT) reported.

The gas pipeline project was planned in 2002 as the EU’s “first attempt at forging a common energy security policy.”

Nabucco pipeline will be 3300km long, starting from Turkey’s border with Georgia and Iran and passing through Bulgaria, Romania and Hungary to finally end in Austria. Depending on the situation, gas will be provided from Iran, Iraq, Azerbaijan and Kazakhstan.

So far five energy companies agreed to participate in the project, IHT said. Among the companies are Turkish Botas, Bulgarian Bulgargaz, Romanian Transgaz, Hungarian Mol and Austrian OMV.

Botas spokesperson Emre Engur said that the pipeline would be operating at full capacity in 2025 and then 25 per cent of Europe’s gas supply would come from Central Asia. Currently 25 per cent of the supplies come from Russia.

The project will cost between 4.6 and 6.6 billion euro. IHT said that “as with many big EU projects, the financing has yet to be arranged and investors lined up.” European Investment Bank (EIB) said that if the project was viable, it would provide funding.

Russia’s gas supplier Gazprom responded to the Nabucco project by making deals with main partners in the deal. It contracted Kazakhstan for its entire export and transit capacity over the next five years and Turkmenistan for its export surplus of gas in a 25-year period.

Gazprom also contracted Hungary for prolongation of Blue Stream pipeline which already passes under the Black Sea from Russia to Turkey. The prolongation will pass almost the same route as Nabucco but will end in Hungary. Gazprom is already constructing big underground storing facilities in Hungary, IHT said.