The European Union and the United States are poised for a potential dispute over the awarding of a key pipeline contract in Bosnia and Herzegovina, linked to associates of former President Donald Trump. The project involves the Southern Interconnection pipeline, which will connect Bosnia to a liquefied natural gas (LNG) terminal off the Croatian coast, aiming to reduce the country’s dependence on Russian gas.
Bosnian officials, reportedly under sustained pressure from U.S. representatives, have accelerated the process to grant the contract to AAFS Infrastructure and Energy, a Wyoming-based company established in November 2023. The firm is led by Jesse Binnall, a lawyer known for defending Trump amid allegations tied to the January 6 Capitol riot, and Joe Flynn, brother of Trump’s former national security adviser. Despite a lack of public experience with major infrastructure projects, AAFS has proposed investing $1.5 billion in the pipeline and related infrastructure in Bosnia.
The decision to award the contract to AAFS without a competitive tender process has raised concerns. In March, Bosnia’s parliament passed legislation effectively mandating that the contract be granted to AAFS, a move criticized by Transparency International for setting a potentially “dangerous precedent.” Shortly thereafter, the EU’s delegation in Sarajevo issued a private warning to Bosnian authorities, cautioning that bypassing transparent procurement procedures could harm the country’s EU accession prospects.
In an April 13 letter, the EU’s ambassador to Bosnia, Luigi Soreca, emphasized the importance of aligning national legislation with EU energy agreements. He underscored that close coordination with Brussels was essential for Bosnia to advance its European integration and secure associated financial investments.
The pipeline’s strategic value has escalated since Russia’s full-scale invasion of Ukraine in 2022, as the EU has imposed a 2028 deadline for cutting reliance on Russian gas among member states and aspiring members like Bosnia. The venture would diversify Bosnia’s energy sources by enabling U.S. LNG to flow into the country, altering the regional energy landscape. However, Brussels appears wary of commercial assets tied to figures closely affiliated with Trump, whose administration was often at odds with the EU on various geopolitical issues.
AAFS’s online presence highlights a strong American identity, featuring imagery reflecting U.S. power and claiming extensive expertise in energy and infrastructure; yet, the company does not disclose ownership details or a track record of comparable projects.
The Trump circle’s involvement in Bosnia extends beyond AAFS. Michael Flynn, Joe Flynn’s brother and a former U.S. intelligence official pardoned by Trump after his conviction for misleading the FBI was overturned, has lobbied to lift sanctions on Milorad Dodik, the Serb nationalist leader of the Republika Srpska entity within Bosnia. Dodik, who has faced international scrutiny for actions undermining the 1995 Dayton peace agreement, welcomed the pipeline initiative.
Moreover, Donald Trump Jr., who manages the Trump family business, recently visited Banja Luka, the administrative center of Republika Srpska, signaling continued ties between Trump associates and political actors in the region. While Trump Jr. and Michael Flynn are not directly connected to the pipeline project, Dodik’s support for the initiative suggests overlapping interests.
As Bosnia navigates complex regional energy priorities and the EU accession process, the pipeline contract has become a flashpoint reflecting broader geopolitical tensions involving Washington, Brussels, and the Western Balkans.