Nabucco expects 20 bcm of Azerbaijani gas in long-term
Azerbaijan, Baku, Nov. 1 /Trend, A.Badalova/
The Nabucco Gas Pipeline Project expects to receive 20 billion cubic meters of gas from Azerbaijan in the long-term perspective, Nabucco Gas Pipeline International GmbH Managing Director Reinhard Mitschek told Dow Jones Energy Daily.
The gas produced within the second phase of the Azerbaijani Shah Deniz Field is considered to be the main gas source for the Southern Gas Corridor projects, including Nabucco. All the projects (Nabucco, ITGI and TAP) have already submitted final proposals to the Shah Deniz Consortium, which will made the decision on the transportation route by late 2011.
Mr. Mitschek said the Nabucco project wants to secure 10 billion cubic meters of gas from Shah Deniz II. And smaller developed fields in Azerbaijan could provide up to 4 billion cubic meters of gas in addition, he said.
Mitschek said that an open season procedure will be held in the first half of 2012.
"Prior to that, the gas supply from the Azerbaijani field Shah Deniz II needs to be contractually guaranteed," Mitschek said.
Nabucco gas pipeline project envisages gas supplies from the Caspian region and the Middle East to the EU countries. The current participants of Nabucco 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.
Open season process involves putting on sale the capacity of the Nabucco pipeline. During the procedure, shareholders of the project will receive up to 15 billion cubic meters of gas per year (50 percent of the total transport capacity of the pipeline), the remaining 50 percent will be offered to third parties on equal conditions based on the principles of transparency.
The "Open Season" is expected to start after the shareholders of the project receive the first results of discussions with potential gas suppliers. "Open Season" is the basis for making a final investment decision on the project, which is expected later this year.
Mr. Mitschek said a final investment decision on the project will not be made until the end of 2012. The construction of the pipeline is scheduled for 2013, and the first gas supplies via the pipeline were expected in 2017.