BAKU, Azerbaijan, Feb.17
By Leman Zeynalova – Trend:
The Southern Gas Corridor is not a game changer from a volume point of view, but it is a game changer from a supplier diversification perspective, Trend quoted Elshad Nassirov, vice president or investment and marketing at Azerbaijan’s state oil company SOCAR as saying.
"This is its unique energy security and geopolitical contribution,” he added.
Nassirov pointed out that it had helped to increase liquidity on the Italian PSV market. "The Italian market had long been illiquid and prices at PSV were higher than at other hubs in continental Europe. Liquidity is improved, meaning PSV assessments are now a more reliable guide to the Italian price”.
Nassirov also said the SGC had changed the dynamics of the Turkish gas market, adding a further 6 Bcm/year of supply from Azerbaijan on top of its existing contracted deliveries.
He added that a blend of up to 20 percent hydrogen could flow through TANAP in the future, and that the pipeline was already technically ready to carry hydrogen.
The Southern Gas Corridor, which is comprised of Shah Deniz 2, the South Caucasus Pipeline Expansion, the Trans Anatolian Natural Gas Pipeline (TANAP), and the Trans Adriatic Pipeline (TAP) became fully operational on December 31, 2020.
Trans Adriatic Pipeline (TAP) AG confirmed on Dec. 31 the commencement of gas flows from Azerbaijan. The first gas has reached Greece and Bulgaria, via the Nea Mesimvria interconnection point with DESFA, as well as Italy, via the Melendugno interconnection point with SNAM Rete Gas (SRG).
TAP transports natural gas from the giant Shah Deniz field in the Azerbaijan sector of the Caspian Sea to Europe. The 878 km long pipeline connects with the Trans Anatolian Pipeline (TANAP) at the Turkish-Greek border in Kipoi, crosses Greece and Albania and the Adriatic Sea, before coming ashore in Southern Italy.
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