Armenia - Turkey rapprochement is important not only for alternative regional energy solutions but also for the establishment of peace and stability in the Caucasus. The United States, in the context of President Obama’s policies emphasizing engagement rather than confrontation, has encouraged Turkey to refrain from isolating Armenia. The West is by now convinced that Azerbaijan cannot serve as an alternative to Russia for natural gas supplies. One reason for this is Azerbaijan’s small production volume. Another is the instability of the transit route, highlighted again by the August 2008 “South Ossetia War”.