Azerbaijan Postponed Launch of Its 1st Gas Supplies to Georgia to January 11, 2007

Oil&Gas Materials 10 January 2007 20:12 (UTC +04:00)

The launch of Azerbaijan supply to Georgia with gas has been postponed from January 10 to January 11, 2007. The supplies are expected to be launched at 9:00 a. m. local (Baku) time, a source in Azerigaz CJSC informed Trend.

Presently, gas is being pumped to the pipeline. The daily gas volume will be equal to 3 mln. cubic meters, said the source in Azerigaz.

Azerbaijan will supply Georgia with gas within ten days every month. According to the agreement between the two countries, the gas supplies will be carried out from the tenth day to twentieth of each month. The volume of the supplies will be 3 mln. cubic meters per day. The total average daily gas supply volume will reach 1 mln. cubic meters, as it was stipulated in the agreement reached during the visit of Georgia Prime-Minister Zurab Nogaideli to Baku at the end of 2006.

Azerbaijan will supply Georgia with gas SOCAR produces at its own fields. Representatives of Georgia and Azerbaijan earlier noted that the gas price will reach $120 per 1.000 cubic meters.

Presently, Russian gas giant, Gazprom is Georgia only gas supplier. The price of the Russian gas has been fixed at the rate of $235 per 1.000 cubic meters.

This year, Azerbaijan is expected to provide Georgia with gas to be produced from Azerbaijan offshore gas condensate field Shahdaniz. The guaranteed gas volume which Georgia will receive at the price of $63 per 1.000 cubic meters in 2007 will reach 250 mln. cubic meters. Additional gas volumes and the price is a subject of separate negotiations between the two parties.