Lee says Russian gas pipeline project not 'far-fetched dream'

SEATTLE, Sept. 22 (Yonhap) -- President Lee Myung-bak said Thursday he believes that an ambitious project to build a transnational pipeline shipping Russian natural gas to South Korea via the communist North is workable and "good progress" is already being made.
"I do not consider this as a far-fetched dream," Lee said in an interview in New York with Bloomberg, calling the project "a win-win for everyone involved," according to the report.
"I'm aware that the Russians and the North Koreans have been discussing this issue and that some progress, good progress, is being made," Lee said. "We can buy gas at reasonable prices and for the North Koreans, they can also get some benefit by collecting the transaction fee."
The massive project, which has been talked about for about 20 years, but never materialized due in part to security tensions, has gained momentum in recent weeks after North Korean leader Kim Jong-il discussed the project with Russian President Dmitry Medvedev during his trip to Russia last month.
The two sides said that they agreed to set up a joint committee to push for the project.
Russia's presidential envoy to the Far East Federal District, Viktor Ishaev, also said that the North's leader agreed to permit the envisioned pipeline to go through its territory if Russia and South Korea sign a contract on the project, according to a news report.
Russia's gas-export monopoly, Gazprom, signed a memorandum of understanding on the project with North Korea's oil minister in Moscow earlier this month. The agreement calls for forming a working group to carry out the project, reports said.
The head of South Korea's gas monopoly, Korea Gas Corp. (KOGAS), also made a visit to Moscow for talks with Gazprom officials earlier this month.
The flurry of activity comes as relations between the Koreas still remain deadlocked after North Korea's two deadly attacks on the South last year. Experts say the project will help reduce cross-border tensions.
After the interview, Lee flew to Seattle on his way home.
jschang@yna.co.kr
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