SOCAR negotiates preparation of feasibility study within gas project
Azerbaijan, Baku, June 23 /Trend, E.Ismayilov/
SOCAR (State Oil Company of Azerbaijan) and the German E.ON discuss the possibility of preparing a feasibility study for the project on reconstruction of the gas distribution system in Baku and surrounding districts, a source in SOCAR said.
He said the sides have not come to the signing of the contract.
"The contract has not been signed. Debates continue particularly on the preparation of feasibility studies," said the source. Another source in SOCAR said earlier that the sides have agreed on the technical side of the contract, and are now at the stage of solving commercial issues of the project.
The gas system of Baku and Absheron peninsula is the largest in the country and covers about 650,000 subscribers. 90 percent of the existing infrastructure should be upgraded for its reconstruction and modernization.
The total project cost may be 800-900 million euros.