Int'l financial organizations eye to finance TAPI project

Oil&Gas Materials 10 December 2018 20:00 (UTC +04:00)

Ashgabat, Turkmenistan, Dec. 10

By Huseyn Hasanov – Trend:

The Asian Development Bank (ADB) and the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) intend to provide financing for the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline, Trend reports referring to the Turkmengas State Concern.

"Funds worth $500 million and $300 million will be provided, respectively," said CEO of TAPI Pipeline Company Ltd. Muhammetmyrat Amanov at a roundtable meeting in Islamabad, Pakistan.

Amanov also noted the agreement reached with the Islamic Development Bank (IDB) to allocate $700 million for construction of the TAPI section in Turkmenistan. In addition, negotiations are underway to allocate an additional $300 million for the remainder of the pipeline, he said.

Construction of the Turkmen section of TAPI, with a length of more than 200 kilometers, began in December 2015.

"The gas pipeline will be brought to the Pakistani border within two years, and in the next 6-8 months, the gas route will stretch to the territory of India," Amanov said.

As expected, the implementation of TAPI will additionally create about 10,000 jobs and accelerate industrialization in the region.

Amanov also said the cost of the Turkmen gas, which will be supplied to Pakistan, is significantly lower compared to the price of liquefied gas imported by Islamabad.