BAKU, Azerbaijan, July 1
By Leman Zeynalova – Trend:
The overall progress in the implementation of the second phase of development of Azerbaijan’s Shah Deniz gas and condensate field stands at 94.5 percent, Ibrahim Ahmadov, deputy head of the public relations and events department at SOCAR, told Trend.
As for other projects of the Southern Gas Corridor, which envisages transportation of Azerbaijani gas to Europe, Ahmadov noted that the Trans Adriatic Pipeline (TAP) is 96 percent complete.
“The progress on the South Caucasus Pipeline Expansion and the construction of the Trans Anatolian Natural Gas Pipeline (TANAP) nears 100 percent for each,” he said.
Southern Gas Corridor CJSC has inked two agreements with the Asian Development Bank. One of the agreements envisages a guarantee for attracting $524.5 million, which was fully utilized by the CJSC. The second agreement for allocation of $500 million worth loan was annulled as a result of project cost reduction.
The Southern Gas Corridor comprises the following four projects: (i) operation of Shah Deniz natural gas-condensate field ("SD1" project) and its full-field development ("SD2'" project), (ii) the operation of the South Caucasus Pipeline ("SCP" project) and its expansion ("SCPX" project), (iii) the construction of the Trans-Anatolian Natural Gas Pipeline ("TANAP" project) and (iv) the construction of the Trans Adriatic Pipeline ("TAP" project) (SD2, SCPX, TANAP and TAP collectively, the "Projects").
The Projects have an estimated investment cost of approximately $40 billion. Upon completion, the SD2 project will add a further 16 bcm of natural gas per annum to 10.9 bcma (maximum production capacity) already produced under SD1 project.
Total length of the newly constructed SCPX, TANAP and TAP pipelines will be more than 3,200 kilometres.
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