Gas route from Shah Deniz-2 to be set before summer

The route for gas transport from Shah Deniz-2 to Europe will be set before June, as stated by Gulmira Rzayeva,a scientist of the Center for Strategic Studies of the Azerbaijani President. She attended the international conference in Tbilisi in late March as an energy expert and made a report “Azerbaijani View on the Southern Corridor, News Azerbaijan reports.

The Southern Corridor for supply of EU with energy resources was the main topic at the 11th Georgian International Oil, Gas, Infrastructure and Energy Conference & Showcase (GIOGIE) in Tbilisi on March 28-29, 2012. 150 delegates from 15 states attended the talks. The conference is comparable with MIOGE or KIOGE, Neftegaz.ru reports.

Delegates studied Georgian projects and strategy for energy security. Georgia stresses on energy security, diversification of gas supplies, reconstruction of dams, construction of gas pipelines, invitation of foreign investors and privatization.

The Trans-Adriatic Pipeline (TAP) has been chosen to transport gas resources from Azerbaijan’s Shah Deniz-2 to Italy. The Shah Deniz Consortium will determine a path for transport between the South East European Pipeline (SEEP) and Nabucco, depending on which gas pipeline will be chosen in summer 2012.

Another issue is whether the gas pipeline will reach Baumgarten in Austria or whether it should end in Hungary. The pipeline length has not been set yet.

Decisions will be made by an expert group of the Shah Deniz-2 Consortium (SOCAR, BP, Statoil) and the Azerbaijani government.

Azerbaijani Minister for Industry and Energy Natig Aliyev commented on increase of Turkey’s part in the Trans-Anatolia Gas Pipeline (TANAP).

The minister said that the State Oil Company of the Azerbaijani Republic (SOCAR) has 80% of share in the project, Turkey’s Botas has 20%. Azerbaijan and Turkey signed a memorandum of understanding in December 2011 to build TANAP and transport Azerbaijani gas to Europe. The deal is expected to be signed in April. Construction of the gas pipeline should cost $5-7 billion. The sides plan to start construction in late 2013 or early 2014.