BP, SOCAR, BOTAS ratify all accords on Shah Deniz gas transportation
Azerbaijan, Baku, November 28 / S. Aliyev, Trend /
BP, SOCAR (the Azerbaijan State Oil Company) and BOTAS (the Turkish Petroleum Pipeline Corporation) have formalised a set of 14 agreements underpinning the operations of the BTC Pipeline and the full development of the giant Shah Deniz gas field, BP told Trend in a reply.
Board approval of these agreements by BOTAS and Shah Deniz on 25 November follows signature of the agreements at a meeting between Recep Tayyip Erdogan, Prime Minister of Turkey, and Ilham Aliyev, President of Azerbaijan, in Izmir last month.
The agreements provide a legal framework for the sale of Shah Deniz gas to Turkey and its transportation to the European markets through Turkey, starting in 2017. As such, they represent a major step towards the opening of the so-called Southern Gas Corridor - bringing gas from the Caspian Sea to Europe for the very first time.
The agreements allow two alternative pipelines to be considered in parallel. One consists of an upgrade of the existing BOTAS pipeline network, while the other would entail construction of an entirely new standalone pipeline across Turkey. This standalone pipeline, dubbed TANAP, or the Trans Anatolia Pipeline, would be developed by a new consortium, including both Turkish and gas producer companies.
The board approvals come a few days after Bob Dudley held a meeting with Prime Minister Erdogan in Ankara to discuss both oil and gas issues. He also spoke with Turkey's President Abdullah Gul, Deputy Prime Minister Ali Babacan and Minister of Energy Taner Yildiz.
Speaking to BP staff in Ankara, Bob Dudley said, "Turkey plays an important role in providing energy security. BP-led projects such as the BTC Pipeline and development of Shah Deniz Phase 2 can support this. The country's objective is to become a regional energy hub, and I am very proud that BP is able to work with the government to help them in achieving their goals."