Azerbaijan, Baku, Dec. 26 /Trend A.Badalova, A. Tagihyeva /
Turkey and Azerbaijan signed a Memorandum of Understanding (MoU) on Monday to establish a consortium which will construct a gas pipeline to transport gas from Azerbaijani
Shah Deniz field to Europe through the Turkish territory.
During the signing ceremony Turkish Energy Minister Taner Yildiz said the pipeline cost will be set by SOCAR. He also stressed that it may be close to the figure of $5 billion, which was announced earlier.
The construction of Trans Anadolu gas pipeline (TANAP) is required for the export of most part of 50 billion cubic meters of gas that Azerbaijan intends to produce in 2025. Baku and Ankara intend to construct new pipeline on the Turkish territory.
The parties involved in the project intend to resolve all issues on this gas pipeline in 2012. They also plan to start construction immediately in order to complete it by late 2017. The second stage of development of the Azerbaijani Shah Deniz gas condensate field will be launched during that period.
Azerbaijan and Turkey are working to examine the possibility of constructing a new gas pipeline which will stretch from the eastern border of Turkey to the country's western border, SOCAR President Rovnag Abdullaev said earlier.
State Oil Company of Azerbaijan (SOCAR), Turkey's state-owned pipeline operator Botas Boru Hatlari Ile Petrol Tasima AS and oil company Turkiye Petrolleri A.O. will be founders of the consortium, with more international oil and gas companies to be further involved.
TANAP will become a basis for the Southern gas Corridor.
The consortium of Azerbaijani Shah Deniz gas condensate field development considers different possible routes for gas export to Europe, which also include Southern gas Corridor projects.
The Southern gas Corridor is an EU priority energy project diversifying energy supply routes and sources and increasing EU energy security. It includes the Nabucco gas pipeline, Trans Adriatic Pipeline (TAP) and ITGI (Turkey-Greece-Italy pipeline) projects.