Russian investment company Summa has pulled out of plans to build a massive crude oil storage terminal in Rotterdam port because it can’t finance the deal, the Financieele Dagblad says on Thursday.

The rising tension between Russia and the EU have made it impossible to bring in enough investors for the Shtandart terminal, which would have raised €700m for the port authority over the next 30 years.

The port authority has confirmed the cancellation of the deal, the paper says. The Russians had agreed to pay €170m for the lease of the land and €22m a year in port fees.

The deal was signed by prime minister Mark Rutte in 2011 and the permits were granted in 2013. At the time, economic affairs minister Henk Kamp said the investment was affirmation of the ‘fruitful’ trading relationship between the Netherlands and Russia.

The port authority is now looking for an alternative use for the land which had been reserved for the Russian project.