Bosnia Names U.S. Investor for Gas Pipeline Link to Croatia to Cut Russian Supply

Bosnia has named a U.S. investor to lead a new gas pipeline linking the country to Croatia’s LNG supply. The project aims to reduce reliance on Russian gas ahead of the EU’s planned 2028 ban.

(Reuters) — Bosnia and Herzegovina has named U.S.-based AAFS Infrastructure and Energy LLC as the lead investor for a planned natural gas pipeline linking the country to Croatia, advancing efforts to diversify supply away from Russian imports.

The Southern Interconnection pipeline would connect Bosnia’s gas network to Croatia’s system, providing access to LNG imports via the Krk terminal. The project is seen as a key step in reducing reliance on Russian gas, which currently supplies the country via the TurkStream route through Serbia.

Lawmakers approved amendments to existing legislation to enable the project to move forward, including changes to governance structure and project oversight. The government is expected to sign a direct agreement with AAFS, as well as a separate intergovernmental agreement with Croatia.

Bosnia currently relies on a single supply route and has limited domestic gas production, making diversification a priority ahead of the European Union’s planned phaseout of Russian gas imports.

The pipeline is intended to strengthen supply security and improve access to regional gas markets, though observers have cautioned that Bosnia’s complex regulatory framework and permitting processes could delay implementation.