BP becomes shareholder of TANAP (UPDATE)

Oil&Gas Materials 13 March 2015 13:54 (UTC +04:00)

Baku, Azerbaijan, March 13

By Maksim Tsurkov - Trend:

Great Britain's BP company and the Trans-Anatolian gas pipeline (TANAP) consortium have signed a share holder agreement, according to which BP will become one of the shareholders of TANAP, Turkish TRT Haber TV channel reported on Mar.13.

Under the agreement signed in Turkey on Mar.13, BP will get a 12-percent share in the project.

"BP is very pleased to have reached this milestone today," the company told Trend. "Following the signature of the Share Holder Agreement (SHA) today, BP is looking forward to completing all other agreements that would enable BP to become a shareholder in TANAP."

"We are grateful for the support of the Turkish and Azerbaijani governments in this endeavor," said BP.

Following the completion of the legal implementation procedure, TANAP's shareholders will be as follows: State Oil Company of Azerbaijan (SOCAR) - 58 percent, Botas - 30 percent and BP - 12 percent.

The TANAP project envisages the transportation of gas of Azerbaijan's Shah Deniz field from the Georgian-Turkish border to the western borders of Turkey.

TANAP's initial capacity is expected to reach 16 billion cubic meters of gas per year. Around six billion cubic meters of this gas will be delivered to Turkey and the rest of the volume to Europe.

Turkey will obtain gas in 2018 and after the construction of the Trans Adriatic Pipeline (TAP), gas will be delivered to Europe in early 2020.

The project's cost is estimated at $10-$11 billion.

Edited by SI


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