SOCAR to prepare estimated documentation on major gas project
Azerbaijan, Baku, Oct. 2 /Trend E. Ismayilov/
The State Oil Company of Azerbaijan (SOCAR) will make a decision regarding further work within feasibility study of reconstruction and modernization project of Baku's and Absheron peninsula's gas distribution, developed by German E.ON, SOCAR source reported to Trend.
According to the source, the German company has previously presented SOCAR the final version of feasibility study, approved by the state oil company.
"The feasibility study has been accomplished timely and in accordance with all requirements. The State Oil Company has to make a decision regarding further activity within this major project," the source noted.
The source said project and estimated documentation will be prepared by SOCAR itself, the German party could operate as a consultant.
The source stressed that German company's consultation is required due to modern experience of the company in the field of modern technologies and equipment, currently used in the world during conduction of gas distribution networks and their regulation,".
Regarding the issue of physical work within the project, the source said construction work could be launched simultaneously with preparation of project and estimated documentation depending on the decision of SOCAR.
According to preliminary data, construction of 10 thousand kilometer pipes of various diameters is required within reconstruction and modernization of gas distribution system.
The project envisages reduction of gas loss to the minimum, extension and reconstruction of existing gas distribution system considering the growth of population and continuous industrial development, as well as the goal to meet of increased demand for gas in future.
Baku and Absheron peninsula's gas system is the largest in the country and covers around 650 thousand users. In this regard, 90% of current infrastructure has to be modernized.
The official rate as of October 2 is 0,7852 AZN/USD.