NATO allies are close to a landmark agreement to extend a Cold War-era fuel pipeline network to Eastern Europe and Turkey to ensure supply lines remain secure during a crisis, according to people familiar with the matter.

According to a Bloomberg report, a consensus was reached to move forward after years of deliberation, with a decision expected to be announced on Wednesday at NATO’s annual summit in Ankara.  

The project represents NATO's largest-ever investment, with a price tag that could reach $30 billion over two decades.

The initiative reflects growing concern within the alliance that existing pipeline infrastructure, which is heavily concentrated in Western Europe, is insufficient to support large-scale military operations near Russia’s borders.

Currently, most countries on NATO's eastern flank rely on road or rail infrastructure to transport fuel, methods that are highly vulnerable to congestion and enemy attacks.

The expanded network will connect military bases to improve the alliance’s ability to supply fuel to aircraft, vehicles, and installations. The strategic importance of the network has intensified since Russia’s full-scale invasion of Ukraine in 2022.

Poland, the Baltic nations, Romania, Bulgaria, and Turkey will be the primary beneficiaries of the extension.

The new developments follow a renewed push by the NATO members and allies on the Eastern flank to have the critical military fuel pipeline extension deal finalized before the Ankara Summit to counter Russia’s threat.

Under the proposed framework, NATO is expected to provide the bulk of the financing, while the beneficiary countries will cover the remaining costs, with the exact financial allocations still being negotiated.

Although diplomats sparred over the issue last week while finalizing the summit's joint statement, Polish officials fought hard to ensure the pipeline extension agreement would be locked in during the Ankara gathering.

While NATO has explored an eastward expansion of the Central Europe Pipeline System for years, many allies previously worried the massive project would be unsustainable.

Technical details, including the exact funding structure and the chronological order of the expansion, still must be ironed out in the coming weeks.

A spokesperson for NATO did not immediately respond to a request for comment.