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Azerbaijan Will Continue Gas Delivery to Georgia if Internal Demand is Covered Fully

Oil&Gas Materials 29 March 2007 16:06 (UTC +04:00)

Azerbaijan, Baku / corr. Trend S.Aliyev / More than 960 mln cu.m of gas is needed to provide Georgia with gas until the end of 2007. "If Azerbaijan continues delivering nearly 2.5 mln cu.m of gas to Georgia per day, it may provide an opportunity to fully cover the gas demand and Georgia may refuse importing Russian gas," said the Minister of Industry and Energy of Azerbaijan, Natig Aliyev, at the press-conference.

"If we have an opportunity to protect national interests of Azerbaijan, fully cover our gas demand and help Georgia, we will absolutely do it," he stressed.

The issue of prolonging gas delivery to Georgia was discussed at the meeting between Aliyev and Energy Minister of Georgia. Georgia intends to continue receiving Azerbaijani gas in the previous volume. But Aliyev said that it would depend on the energy balance of Azerbaijan.

Presently the State Oil Company of Azerbaijan (SOCAR) produces 13 mln cu.m of gas, 5.6 mln cu.m from Shah Deniz field, 7-8 mln cu.m of associated gas is delivered from Azeri-Chirag-Guneshli fields and 7-8 mln cu.m. from underground gas reservoirs.

Azerbaijan is currently supplying Georgia with some 2.3 mln. cubic meters of gas to Georgia per day, with 1.3 mln cu.m via old Baku-Tbilisi pipeline and 1 mln cu.m via South Caucasus Pipeline from Shah Deniz filed. The agreement on gas delivery to Georgia with $120 per 1.000 cubic meters will be completed from 1 April.

The guaranteed gas volume which Georgia will receive at the price of $63 per 1,000 cubic meters in 2007 will reach 250 mln. cu.m.

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