Baku, Azerbaijan, May 13
By Aygun Badalova - Trend:
The European Bank for Reconstruction and Development (EBRD) is considering financing of up to 1.5 billion euros for the Trans Adriatic Pipeline (TAP) in a record loan, bank's managing director of energy Riccardo Puliti said in an interview to Reuters.
"We are considering up to 500 million euros of our own money for TAP plus we will try to arrange with other banks up to 1 billion euros in a syndicated loan," Puliti said.
The loan in total would be the largest the EBRD has ever made, according to Puliti.
"Together with financing from the EIB (European Investment Bank), project sponsors' equity and export credit agencies, I think the (project) will be fully financed," he added.
TAP project envisages transportation of gas from the Stage 2 of development of Azerbaijan's Shah Deniz gas and condensate field to the EU countries.
The 870-kilometer pipeline will be connected to the Trans Anatolian Pipeline (TANAP) on the Turkish-Greek border, run through Greece, Albania and the Adriatic Sea, before coming ashore in Italy's south.
TAP's initial capacity will be 10 billion cubic meters of gas a year, expandable to 20 billion cubic meters. The construction of TAP will start in May 2016.
Earlier EIB reported that it was considering lending 2 billion euro to TAP.
According to EIB official representative Massimo D'Eufemia, during the last year, the bank closely worked with TAP and TANAP (Trans Anatolian gas pipeline).
"We also want to assure that there will be EIB's long-term funds and resources for successful completion of these projects, and we're also considering to finance the other components of the Southern Gas Corridor," he said.