Project cost of "The Southern gas corridor" is specified

Project cost of "The Southern gas corridor" is estimated at 41,5 billion dollars. The head of CJSC "The Southern gas corridor" Avhan Isaev at the International oil summit of Argus 2017 in Baku reported about it.

From this amount of financing of 11,8 billion dollars fall to the share of Azerbaijan. From this amount 7,8 billion dollars are allocated.

""Project cost" of the "Shah of Deniz-2" constitutes 23,9 billion dollars. From this amount 16,4 billion dollars are financed, the project is complete for 96 percent.

The cost of expansion of the South Caucasian pipeline constitutes 4,7 billion dollars from which 3,8 billion dollars have been already allocated. The project in general is executed for 98 percent.

The cost of TANAP is estimated at eight billion dollars (in comparison with initial 9,5 billion dollars). 4,5 billion dollars are mastered, and the project is complete for 82 percent.

TAP is estimated at 4,5 billion euros from which 2,3 billion euros have been already allocated. Progress is estimated at 53 percent", - the Trend edition quotes Isaev.

He added that by the end of 2018 the first gas from "the Shah of Deniz-2" will have been delivered to Turkey.

According to him, financing of a share of Azerbaijan in the project is carried out from several sources.

"In 2014 release of eurobonds in amount 2,5 billion dollars in the domestic market which was purchased by State petrofund of Azerbaijan (SOFAZ) was performed. In 2015 capitalization for 2,4 billion dollars was made. In 2016 and 2017 two releases of eurobonds at the Irish exchange by amount one billion dollars everyone were performed. Also the loans from the International Bank for Reconstruction and Development were attracted (IBRD, is included into group of the WB) for 400 million dollars (350,2 million dollars are mastered) and from the Asian Infrastructure Investment Bank for 600 million dollars (525,3 million dollars are mastered)", - Isaev told.

"The Southern gas corridor" - is one of the projects, priority for the EU, also provides transportation of 10 billion cubic meters of the Azerbaijani gas from the Caspian region through Georgia and Turkey to Europe.

At an initial stage the gas extracted within the second development phase of the Azerbaijani gas-condensate field "Shah Deniz" is considered as the main source for projects of "The Southern gas corridor". At later stage other sources can be connected to the project. Gas within the second stage of mining will be exported to Turkey and to the European markets by expansion of the South Caucasian gas pipeline and a construction of Transanatolian (TANAP) and Transadriatic (TAP) pipelines.



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