...

BP: Nabucco West, TAP should submit their offers by April 1

Oil&Gas Materials 23 January 2013 17:32

Azerbaijan, Baku, Jan.23 / Trend, S.Aliyev /

April 1 is the deadline for Nabucco West and TAP (Trans Adriatic Pipeline) projects to submit their offers to the consortium of Azerbaijani Shah Deniz gas field development, BP's Vice President for Shah Deniz Development, Al Cook told journalists on Wednesday.

Cook mentioned that in August last year they signed agreements with TAP to fund their project and for BP, Total and SOCAR to join the project. Last week in Vienna they signed similar agreements with Nabucco West, this time for BP, Statoil, Total and SOCAR and Total to join the Nabucco West project and fund it. "We hope Nabucco will move fast to catch up with TAP and will submit their proposals in a timely manner by 1 April." Cook said.

The Shah Deniz consortium will make its selection between Nabucco West and TAP in June, 2013. According to Cook, at this stage, for Shah Deniz 2 one pipeline will be selected but in the future two options may be considered.

"In the future maybe they can both be built, as the new sources of gas come on stream," Cook said.

According to Cook these agreements from the 18th of December also cover mechanism of gas sales.

"The gas will be sold by a SOCAR-led company and SOCAR will set up that company,"
Cook said.

"We will sell the majority of gas through sales and purchase agreements, however, there might be some small additional volumes that we sell in spot," Cook added.

On the South Caucasus Pipeline Expansion (SCPX), it was clarified that SOCAR will control over timing and capacity of the gas export beyond 25 bcma. At the moment SCP is 8 bcma, SCPX will take the pipeline in total to 24-25 bcma. SOCAR will be able to decide when it wants to expand the pipeline beyond 25 bcma. BP will be the technical operator of SCPX and will support SOCAR.

Tags:
Latest

Latest