Azerbaijan, Baku, Jan.6 / Trend E.Ismayilov /
Specialists from German energy giant E.ON will arrive in Baku in the second half of January to examine data presented by the State Oil Company of Azerbaijan Republic (SOCAR) needed to conduct a project feasibility study for the reconstruction of the gas supply system of Baku and the Absheron peninsula, a source in SOCAR told Trend.
He said specialists from the German company will specify details concerning Baku development plan as well as developing the White city project.
"Currently work on the study of rock samples as well as ground aggressiveness is underway which is necessary for the selection of pipelines and reducing the effect of premature corrosion," the source said.
Agencies and in particular the State Committee for Land and Cartography, are examining the question of studying the rock and ground structure.
SOCAR's Azerigaz production association is engaged in gas transportation and sales in Azerbaijan. Earlier the company presented a forecast of production and consumption growth of gas during the next 10, 20 and 30 years.
The source said the German company will start work on the feasibility study preparation in February and complete in April.
An initial version of the study will be presented to SOCAR and Azerigaz for their conclusions and recommendations in May. E.ON will present a final version in June.
The project aims to minimise gas losses, expand the existing gas distribution system and its reconstruction and renewal taking into account the population growth and sustained development of industry, as well as meeting the increasing gas demand in the future.
The gas system of Baku and the Absheron peninsula is the largest in the country and delivers to around 650,000 consumers. At least 90 per cent of the existing infrastructure must be updated with reconstruction and modernisation at a cost of around 800-900 million euros.