Recent reports reveal that Matthias Warnig, a former East German Stasi officer and close associate of Vladimir Putin, has been orchestrating efforts to revive the Nord Stream 2 gas pipeline with support from American investors. This development, as reported by the Financial Times, signals a significant shift in US-Russia relations under the Trump administration.
Warnig, who previously managed Nord Stream 2’s parent company for Gazprom until 2023, has been working through American business channels to facilitate negotiations aimed at both ending the Ukraine conflict and strengthening economic ties between the United States and Russia. The initiative has reportedly gained attention from key figures within the Trump administration, who view it as an opportunity to rebuild diplomatic relations with Moscow.
The pipeline project has attracted serious interest, with one US-led investment consortium already drafting preliminary agreement terms with Gazprom. European Union officials have only recently become aware of these discussions, leading to concerns among several European nation leaders about the implications of such a deal.
While one of Nord Stream 2’s pipelines was destroyed in September 2022 alongside both Nord Stream 1 pipelines, the remaining Nord Stream 2 pipeline remains intact but unused, with an annual capacity of 27.5 billion cubic meters of natural gas. The proposed deal would give the United States unprecedented influence over European energy supplies, following the EU’s efforts to reduce Russian gas dependence after the Ukraine invasion.
However, the plan faces significant challenges, requiring US sanctions relief, Russia’s agreement to resume gas sales, and German approval for gas distribution within Europe. A former US official familiar with the negotiations suggested that American involvement would be promoted as a guarantee of Russian reliability, with US investors standing to gain substantial profits from their intermediary role.
The timing coincides with the Trump administration’s push for a bilateral peace agreement with Russia, causing anxiety among European capitals concerned about potential US-Russia rapprochement. Putin has publicly discussed the economic opportunities available to American businesses in the event of a Ukraine settlement.
Nord Stream 2 AG recently secured a four-month extension on bankruptcy proceedings, with Gazprom citing potential changes under the Trump administration and German elections as factors that could
significantly impact the pipeline’s future.
Despite his close personal relationship with Putin, which included hosting the Russian leader’s daughters and sharing ski trips, Warnig has criticized the Ukraine invasion as an “indescribable mistake.” He stepped down from several Russian energy company boards following the outbreak of war and claims to be the only person still able to speak frankly with Putin.
The pipeline’s ownership structure presents additional complications, with Gazprom holding full ownership while five European energy companies previously provided half of its $11 billion construction costs through loans, which have since been written off. Germany’s withdrawal of licensing procedures in 2022 adds another layer of complexity.
While US ownership could potentially provide leverage over Russian gas flows to Europe, experts warn that approval from Trump and Putin alone wouldn’t guarantee the pipeline’s operation. Former US officials and Western investors emphasize that corporate boards would be hesitant to re-enter the Russian market, and European sanctions remain a significant obstacle. Additionally, German support for Nord Stream 2’s rehabilitation could create substantial divisions within Europe, suggesting that any actual implementation remains a distant prospect.