German company reveals gas volume to be purchased from Azerbaijan

Oil&Gas Materials 12 September 2017 10:31 (UTC +04:00)

Baku, Azerbaijan, Sept.12

By Leman Zeynalova – Trend:

Germany’s Uniper energy company will purchase a total of 40 billion cubic meters of gas under the agreement on purchase of Azerbaijani gas from Shah Deniz field, the company’s spokesperson Georg Oppermann told Trend.

“We expect no deviations from the contractual arrangements of our gas supply agreement. Our long-term gas supply agreement covers 40 billion cubic meters in total over its lifetime,” he added.

Oppermann pointed out that the opening of the Southern Gas Corridor with volumes delivered from the Shah Deniz field in Azerbaijan will enhance the diversification of natural gas supplies to Europe and contribute to its security of supply.

Since January 1, 2016, Uniper had a spin-off with German E.ON company which was one of the nine European companies that signed an agreement with Shah Deniz consortium in September 2013 on purchasing Azerbaijani gas.

The gas trading business is now in the responsibility of Uniper.

The Shah Deniz consortium announced on September 19, 2013 that 25-year sales agreements have been concluded for just over 10 billion cubic meters a year of gas to be produced from the Shah Deniz field in Azerbaijan as a result of the development of Stage 2 of the Shah Deniz project.

The contracts on the purchase of Azerbaijani gas from the second phase of Shah Deniz field development (Shah Deniz-2 project) were signed with Shell, Bulgar gas,Gas Natural Fenosa, EON, Gaz de France, Hera, Enel, Axpo, DEPA.

The Shah Deniz Stage 2 project is set to bring gas directly from Azerbaijan to Europe for the first time, opening up the Southern Gas Corridor.

In total 16 billion cubic meters a year of Shah Deniz Stage 2 gas will be delivered through more than 3500 kilometers of pipelines through Azerbaijan, Georgia, Turkey, Greece, Bulgaria, Albania and under the Adriatic Sea to Italy.

The Southern Gas Corridor is one of the priority energy projects for the EU. It envisages the transportation of gas from the Caspian region to the European countries through Georgia and Turkey.

At the initial stage, the gas to be produced as part of the Stage 2 of development of Azerbaijan's Shah Deniz field is considered as the main source for the Southern Gas Corridor projects. Other sources can also connect to this project at a later stage.

As part of the Stage 2 of the Shah Deniz development, the gas will be exported to Turkey and European markets by expanding the South Caucasus Pipeline and the construction of Trans Anatolian Natural Gas Pipeline and Trans Adriatic Pipeline.


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