Ambassador: “Iran may hold talks with TANAP shareholders putting forward useful proposals”

Baku: Iran ranks at 2nd in the world for volume of natural gas reserves and therefore can take part in the big projects in the region, Iranian Ambassador to Azerbaijan Mohsen Pak Ayeen said in his interview to APA-Economics.

“Construction of Trans-Anatolian Pipeline (TANAP) and Tans Adriatic Pipeline (TAP) will end in 2018. We have time to get close acquainted with these projects. Currently, our experts on oil and gas are conducting researches. We’ll declare our decision when we achieve a result”, the diplomat said.

Answering the question “May Iranian side have equity in TANAP and are concrete negotiations being conducted in this regard”, the ambassador said: “We are currently working on it. There is a rule to acquire share in TANAP. We are considering it. Of course, based on Iran’s national interest, we can take this step. We have to increase of gas production to participate in the regional energy projects. If our products reach the planned level by 2018, we can take part in the regional projects. It’s difficult to say exactly now. The main point here is realization of our plans related to production. Certainly, we’ll also observe the processes in the world. We don’t want to complete with any country. We just want to sell our gas”.

Regarding purchase of which shareholder’s equity in TANAP, the ambassador said they will cooperate with who puts forward useful proposals: “We are ready to cooperate with any side which will be able to provide Iran’s interest”.

First gas transportation via TANAP is planned to be carried out in 2018. The 1,850 km pipeline will deliver 10 bcm to Europe once it is connected to the Trans Adriatic Pipeline (TAP) by 2020. By 2023, TANAP’s capacity will rise to 23 bcm per year and then to 31 bcm by 2026.

The construction of the Trans Anadolu Gas Pipeline (TANAP) has been estimated to cost $10-$11 billion,

TANAP shareholders: The Southern Gas Corridor (58%), BOTAS (30%), BP (12%).

TAP project is designed to transport natural gas from the Shah Deniz field in the “Stage 2” through Greece and Albania to Western Europe. Capacity of the pipeline is 10 bn cubic meters per year, expandable to 20 bn cubic meters, depending on the demand. Azerbaijani gas supply to TAP is expected in 2019.

TAP’s shareholding is comprised of BP (20%), SOCAR (20%), Statoil (20%), Fluxys (19%), Enagás (16%) and EGL-Axpo (5%).

SOURCE: Azeri Press News Agency