Southern Gas Corridor CJSC not planning to attract new banks for projects’ financing

Oil&Gas Materials 20 December 2017 10:08 (UTC +04:00)

Baku, Azerbaijan, Dec.20

By Leman Zeynalova – Trend:

Azerbaijan’s Southern Gas Corridor closed joint-stock company (CJSC) is not holding active talks with the Black Sea Trade and Development Bank (BSTDB) on financing the Southern Gas Corridor projects, Trend learned from the company.

“We are not conducting active negotiations with BSTDB on financing the Southern Gas Corridor projects, as it is planned that the funds needed to complete the financing of the company’s shares in the projects will be attracted through banks and financial institutions with which we are currently working,” said the company.

Earlier, BSTDB President Ihsan Delikanli told Trend that the bank has intimated its strong desire to the government of Azerbaijan and Southern Gas Corridor CJSC to consider BSTDB among main investors [in the project].

“At this stage it is premature to talk about specific figures, but we shall be prepared to consider the investment amounts that will correspond to the requirements of this major regional project, together with other investors,” noted Delikanli.

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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