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Nabucco still considers Turkey as important partner

Oil&Gas Materials 1 February 2012 10:31 (UTC +04:00)

Azerbaijan, Baku, Feb. 1 /Trend, A.Badalova/

Nabucco Gas Pipeline International continues to consider Turkey as an important partner for its project, Nabucco official representative told Trend.

"Turkish Botas is a shareholder in the Nabucco project, and Turkey is an important partner for us," Nabucco Gas Pipeline International GmbH spokesman, Christian Dolezal wrote Trend in an e-mail. Turkey signed and ratified the Intergovernmental and the Project Support Agreement, and therefore we can rely on the political support," he added.

Earlier this week Turkish Energy Ministry spokesman told dpa that although Turkey remains party of the six-country consortium backing Nabucco, the country is now prioritizing the development of the Trans Anatolian Pipeline (TANAP) project.

TANAP is a proposed Azerbaijan-Turkish project which envisages a construction of pipeline from the eastern border of Turkey to the country's western border.

Azerbaijan and Turkey signed a memorandum of understanding to establish the consortium that will build a gas pipeline. The cost of TANAP will be set by SOCAR and may be close to the figure of $5 billion. The initial capacity of TANAP will amount to 16 billion cubic meters per year.

Dolezal said Nabucco project provided an offer to Shah Deniz consortium, which contains the major parameters for the transport solution, with a flexible and scalable concept irrespective of the TANAP idea.

"We are now in an alignment process, in fruitful meetings with the Shah Deniz consortium," he said.

The details of negotiations were not disclosed due to confidentiality

Dolezal also added that Nabucco consortium considers TANAP not to be a rival.

Nabucco gas pipeline is designed to transport gas from the Caspian region and Middle east to the European countries. The project's partners include the Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and the German RWE.

Gas which will be produced during the second stage of Shah Deniz field development is considered as the main source for Nabucco project.

On Oct. 1, Nabucco with the other pipeline projects (TAP, ITGI) submitted their final proposals to the Azerbaijani side, which will review them in accordance with the previously announced criteria. The decision on the preferable transportation route is expected to be made in the first quarter of 2012.

Dolezal also stressed that Nabucco project is advanced in the engineering, economics, legal framework and financing, and can be realized in efficient time after the gas supply is secured.

Construction of the Nabucco project is planned to start in 2013 and the first supplies are scheduled for 2017. The total length of the pipeline is 3,900 kilometers and a maximum capacity of the pipeline will be 31 billion cubic meters per year.

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