Baku, Azerbaijan, Oct.21
By Rufiz Hafizoglu - Trend:
All the companies which will participate in the construction and supply of the Trans-Anatolian gas pipeline (TANAP) in Turkey are exempt from VAT, Anadolu agency reported on Oct.21.
The decision made by Turkey's Cabinet of Ministers on Oct.21, will enter force from January 2014, according to the agency.
The TANAP project envisages gas transportation from the Shah Deniz field to Europe via Turkey. The initial capacity is expected to reach 16 billion cubic meters per year.
Around six billion cubic meters will be delivered to Turkey and the rest to Europe. In future the pipeline may be expanded up to 31 billion cubic meters a year.
TANAP pipeline is planned to be commissioned in 2018. The project cost is estimated at $10-11 billion.
The gas to be produced as part of the Stage 2 of the field's development will be exported to Turkey and to the European markets by means of expanding the South Caucasus Pipeline and construction of the Trans-Anatolian Gas Pipeline (TANAP) and the Trans-Adriatic Pipeline (TAP).
The first gas will be delivered to Turkey in 2018 and to Europe in 2019.
Contracts for the supply of pipes for the construction of TANAP were signed in Turkey's Ankara city on Oct.14.
Under the project for construction of the Trans-Anatolian gas pipeline (TANAP), contracts were signed with six Turkish and one Chinese company.
Turkey's Mannesmann-Noksel-Erciyas and Umran-Emek consortiums, Toscelik Profil ve Sac Endustrisi company, as well as a Chinese contractor Baosteel Europe won the tender for the supply of pipes for the TANAP project.
Edited by SI