OREANDA-NEWS. August 05, 2009. Nord Stream, which plans to build a pipeline from Russia to Germany, in August, is to provide banks with the terms for raising loans to implement the project, a source in banking circles close to the transaction said, reported the press-centre of FINAM.

Preliminary negotiations over financing the project in which Gazprom owns a controlling interest began in February.

Dresdner, Royal Bank of Scotland and Societe Generale act as consultants to raise financing. Nord Stream plans to borrow 70% of the funds required for the project, with the remaining 30% to be provided by shareholders.

Export credit agencies SACE and Hermes are expected to join the financiers. Another source said in February that commercial banks will float around EUR1.5 bn.