Two U.S. infrastructure firms have formally expressed interest in developing a major natural gas pipeline designed to diversify Bosnia’s energy supply and end its total reliance on Russian imports, the regional government said Tuesday.

AAFS Infrastructure and Energy submitted a letter of intent to the government of the Federation of Bosnia and Herzegovina regarding the proposed Southern Interconnection project. 

The pipeline would link the Balkan nation to a liquefied natural gas (LNG) terminal on the Croatian island of Krk, providing a critical alternative to existing supply routes.

The Federation’s government confirmed it is considering granting a concession to the U.S. companies to implement the project. The move follows an agreement in principle reached in November that a U.S. company would lead the development and management of the interconnection.

Currently, Bosnia and Herzegovina produce no natural gas and is entirely dependent on Russian supplies delivered through the Turk Stream pipeline via Serbia, with Russian energy giant Gazprom providing gas to the entity’s supplier, Energoinvest, under long-term contracts with prices adjusted quarterly.

The Southern Interconnection has recently drawn international scrutiny. Reports indicate that figures close to U.S. President Donald Trump, including lawyer Jesse Binnall and consultant Joe Flynn, have been involved in talks on behalf of the American firms.

Beyond the primary pipeline, the U.S. companies expressed interest in several ancillary energy and infrastructure projects. These include the construction of gas-fired power plants, the expansion of the Kladanj-Tuzla pipeline and the modernization of international airports within the country.

The Federation is one of two autonomous entities that form Bosnia and Herzegovina; the other is the Serb Republic. Proponents of the Southern Interconnection view the project as a vital step toward energy security and European integration.