Russia pre-empts Iranian and Caspian pipeline plans

Gazprom and ENI have signed a memorandum of understanding to study the feasibility of a gas pipeline from southern Russia to Western Europe. The line could deliver gas from both Russia and the Caspian states to markets across Europe and appears as a direct challenge to an EU-sponsored plan to pipe gas from the Caspian, Iran and elsewhere to Western Europe via another proposed pipeline, known as Nabucco.