Priority areas to be determined within AGRI project soon

Oil&Gas Materials 31 January 2011 18:18 (UTC +04:00)

Azerbaijan, Baku, Jan. 31 / Trend E. Ismayilov /

The joint venture was registered in Romania within the Azerbaijan-Georgia-Romanian Interconnector (AGRI) project. It envisages the delivery of liquefied Azerbaijani gas via the Black Sea coast, a source on the oil and gas market said.

He said that the priority areas will be determined soon. The new company will operate.

"The company has already passed the registration. The priority areas of its operation will be determined for the next 1-2 months," the source said.

The joint company will prepare a feasibility study of the new project and seek funding. The company is being established in Romania. The participants are Azerbaijani, Romanian and Georgian sides.

The capacity of the AGRI Project is considered in three variants - two billion cubic meters of gas per year, five billion cubic meters and eight billion cubic meters. According to preliminary data, depending on the capacity of the project, the cost varies from 1.2 billion to 4.5 billion euros.

Azerbaijan, Georgia, Romania and Hungary signed the Baku Declaration on the draft AGRI on Sept. 14 in Baku.

The project envisages transporting Azerbaijani gas via pipelines to the Black Sea coast of Georgia, where the gas will be liquefied at a special terminal. The gas will then be delivered to a terminal at the Romanian port of Constanta via tankers.