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Azerbaijan and Georgia Discuss Turkish Company’s Feasibility Study on Baku-Tbilisi-Kars Project

Business Materials 22 August 2007 16:04 (UTC +04:00)

Azerbaijan, Baku /corr. Trend A.Badalova / Azerbaijan and Georgia discussed in Tbilisi the feasibility study for the restoration and reconstruction of the Marabda-Akhalkalaki railway. A feasibility study has been prepared by the Turkish company Yuksel Domanic.

The Transport Ministry of Azerbaijan stated on 22 August that as a result of the discussions, the Azerbaijani delegation considered the accurate technical tasks that were put forward by the Turkish company for the reconstruction of the Marabda-Akhalkalaki railway. The discussions were attended by Azerbaijani transporters and experts from Georgian - Kavtransproject LLC.

An opening ceremony of the construction of the Turkish section of the Baku-Tbilisi-Kars railway connecting the transport systems of Georgia, Azerbaijan and Turkey, will be held in October.

A tender has been announced for the construction of the Turkish section of the railway. The length of the Turkish section (from Kars to the Georgian border) is 76km.

In June the Turkish company Yuksel Domonik completed a feasibility study for the project.

Under a presidential order 'Arrangements within the framework of implementation of the project of the new railway of Baku-Tbilisi-Kars' a state commission presided by Azerbaijani Transport Minister, Ziya Mammadov, was established. It included representatives from the Finance Ministry, Foreign Ministry, Economic Development Ministry, as well as heads of the State Oil Fund, the Railway and the International Bank of Azerbaijan. The Transport Ministry was appointed coordinator of the project.

By the end of this year Azerbaijan will allot some $50mln to Georgia from a total loan in the sum of $220mln intended for part construction of the Baku-Tbilisi-Kars railway. The loan is fixed for 25 years with an interest rate of1%. It is aimed at the reconstruction and construction of the Georgian part of the railway.

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