To kick off my position here first is to simply explain how it is done without explaining how to do it.
The other questions of why I will leave to others.
The Nord pipeline is not as deep as you may have been told and in some parts its within air range
The pipe is uncovered in many areas and its position is well known. We are not told this information
Contrary to other ideas the pipe needs only a small "carry on" charge, the type compound and package not being relevant here.
But the process of the detonation is key as is the design of the pipe itself they both work together.
The process is known as a "jet" and "plug" the jet pierces the shell the plug follows on and blasts a small but bigger hole. Its standard underwater demolition 101 but against a hollow shell this is more in the range of a military diving applications than commercial.
By contrast a sub surface blast with a flooded structure much more compound is required
The second feature is the pipe itself that lends itself for a jet and plug technique. The process is known as area compensation or in this case the lack of it. In any pressure vessel especially a sub surface pipe you use the thinnest wall thickness you can for the pressure with a small corrosion allowance and protected by either external grout, trenching or laying or all three, Other teqniques such as anode placements can be used to catholically protect the structure but not in this case
Now unlike say a decompression chamber where you need to make holes in the shell for things like viewports manways and weldolets you need to calculate in area compensation. Either you make the shell super thick and super heavy expensive etc or you add compensating rings welded to the shell in order to have a smaller open hole inside.
Conversely for a pressurised pipeline you don't use area compensation hence when the diver ROV or UUV team of choice punch a small hole in your pipe its like sticking a pin in a balloon. No difference the Nord Stream pipeline. The pipe tears itself apart and in all counts disappears from the original position of blast, the compound and carrier disappears in the plasma blast and to all intent purposes it never happened should that be the preferred outcome.
I will admit getting it right first time and ensuring the area compensation effect you could persuade me to use more gun powder.
Simple trick at demolition school was to take a filled balloon of "gas" fill it up and stick a pin in it.
Once the instructor had your attention after the bang he then on a second ballon stuck a patch of sellotape on the ballon and repeated the pin trick, nothing happens. some time later the same by now boring trick was repeated but with a match and hydrogen. The lesson was never forgotten.