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Azerbaijan Prepares to Re-establish Gas Supply to Georgia

Oil&Gas Materials 17 January 2008 22:03 (UTC +04:00)

Azerbaijan, Baku,17 January /corr. Trend S.Aliyev / Azerbaijan will re-establish gas support to Georgia in near days, a government source stated on 16 January. The supply will be carried out according to the contract with the State Oil Company of Azerbaijan (SOCAR).

"The maximal date of re-establishing gas supply is the end of this month," the same source stated. Currently the price for the supplied gas is being discussed. The prices will be changed compared the last year's prices. In addition, the gas volume is being fixed.

Last year the gas was supplied for $120 per 1000 cu.m. Georgia purchases part of the gas from Russia for $235 per 1000 cu.m.

The State Oil Company of Azerbaijan has own gas produced from fields being developed independently. By the end of 2007, Azerbaijan was supplying nearly 1.3-1.5mln cu.m of gas to Georgia.

The experts link the re-establishment of the gas supply to Georgia with the completion of the bid on the management of the gas-distributing networks in this country. The SOCAR also attends the bid on the management of the gas-distributing networks in Georgia via SOCAR Georgia. Generally 29 gas-distributing networks were presented to the bids.

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