The lack of a deal between Azerbaijan and Turkey in protracted talks over the transit of Caspian gas threatens an energy supply route for European markets, U.S. envoy Richard Morningstar said on Wednesday. The European Union-backed Nabucco pipeline, with a price tag of 7.9 billion euros, needs Azeri gas and is central to Europe's efforts to diversify its energy supplies and reduce dependence on Russia, Reuters reported. Turkey and Azerbaijan have yet to agree on a deal that would lay the foundation for Nabucco exports to Europe and important details of the agreement are now expected to be worked out even later than previously thought. The lack of an agreement puts more pressure on Nabucco which is facing difficulties already, and which some analysts doubt will be built at all.
