TAP: Turkey- Azerbaijan gas transportation agreement paves way for TAP
Azerbaijan, Baku, June 8 / Trend A.Badalova /
The signing of gas agreement between Azerbaijan and Turkey is considered as a positive step towards the implementation of projects within the Southern Corridor, aimed at diversifying gas supplies sources and routes to Europe.
According to representatives of the Southern Corridor project, an agreement defining the conditions for transit of Azerbaijani gas via Turkey is an achievement which will facilitate the implementation of these projects, in particular the Nabucco and Trans Adriatic Pipeline (TAP).
The agreement paves the way for further development of the Trans Adriatic Pipeline project, the statement says.
A declaration for the transit of Azerbaijani gas through Turkey and the cost of gas within the first and second stages of development of Azerbaijan gas condensate field Shah Deniz has been signed by Azerbaijani Minister of Industry and Energy Natiq Aliyev and Turkish Minister of Energy and Natural Resources Taner Yildiz.
"TAP welcomes this long-awaited agreement, which is a significant achievement for both countries. TAP further looks forward to making continued progress in order to be ready for the start of gas production of Shah Deniz II" said Michael Hoffmann, External Affairs and Communications Director at TAP.
TAP, which is part of the Southern Corridor project, is designed to transport gas from the Caspian region and the Middle East to Europe. The pipeline will begin in Greece and pass through Albania and the Adriatic Sea to Italy. The length of the pipeline is 520 kilometers. The initial capacity of the pipeline is 10 billion cubic meters, maximum - 20 billion cubic meters a year. Norwegian Statoil, Swiss EGL and Germany's E.ON Ruhrgas are shareholders of the project.
The consortium Nabucco pipeline project designed to transport gas from the Caspian region and the Middle East to EU, also welcomed the Azerbaijan- Turkey gas agreement.
"This is a step forward in the right direction," Nabucco Consortium Managing Director Reinhard Mitschek said.
Nabucco gas pipeline project is worth €7.9 billion. Participants of the project are Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE companies. Each of participants has equal share to the amount of 16.67 percent. Construction of gas pipeline is planned to be launched in 2011, the first supplies - in 2014. Maximal capacity of the pipeline will hit 31 billion cubic meters per year.
Shah Deniz is one of the largest fields in the world. Gas is now transported to Georgia and Turkey via the South Caucasus Gas Pipeline. Commissioning the second stage of development of Azerbaijani gas condensate field Shah Deniz is scheduled for 2016-2017, which depends on the investment decision on one of the planned pipeline projects - Nabucco, Trans Adriatic Pipeline (TAP) and ITGI
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