SEATTLE (Oil Monster):Two U.S. infrastructure and energy companies, AAFS Infrastructure and Energy, have formally submitted a letter of intent to the Federation of Bosnia and Herzegovina to develop the proposed Southern Interconnection natural gas pipeline, the regional government announced Tuesday.
The project aims to diversify Bosnia’s energy supply by linking the country to a liquefied natural gas (LNG) terminal on Croatia’s Krk Island, providing an alternative to existing routes that rely entirely on Russian gas imports. The Federation is reportedly evaluating a concession for the U.S. firms to lead construction and long-term management of the pipeline.
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Currently, Bosnia produces no domestic natural gas and depends on Russian supplies via the Turk Stream pipeline, with Gazprom providing gas through local supplier Energoinvest under long-term, quarterly-adjusted contracts.
In addition to the pipeline, the U.S. firms expressed interest in gas-fired power plants, Kladanj-Tuzla pipeline upgrades, and airport modernization projects. Proponents view the Southern Interconnection as a key step toward energy security and European integration, reducing dependence on Russian energy while strengthening Bosnia’s strategic infrastructure.
