Turkey`s Erdogan believes Nabucco project will go ahead
Turkish Prime Minister Recep Tayyip Erdogan has said
he believes the Nabucco pipeline project that seeks to deliver
Azerbaijani and Central Asian gas to European markets by-passing
Russia will materialize.
``The Nabucco pipeline is not simply a project, it is an idea bringing closer nations and states,`` Erdogan said in a traditional address to the nation.
The Turkish premier said the governments and companies involved in the project should now take more vigorous steps to realize it. He emphasized that the project will be beneficial for Turkey, the region as well as all countries to be crossed by the pipeline, and will boost international cooperation.
``We realize the benefits this project will bring. These new opportunities will also give an incentive to the implementation of other regional projects,`` Erdogan said.
The 3,300-kilometer Nabucco pipeline is to pump gas from the Caspian region, the Middle East and Central Asia to Europe - via Azerbaijan, Turkey, Georgia, Bulgaria, Hungary, Romania and Austria. Construction of the Nabucco pipeline is due to begin in 2011, with its commissioning expected in 2014. When fully operational, it could carry 31 billion cubic meters of gas annually and supply between 5-10 percent of the EU`s projected gas needs in 2020. So far, only Azerbaijan, Iraq and Egypt have pledged to export their gas via the pipeline. The United States and European countries are seeking to secure deliveries from Turkmenistan and Kazakhstan as well. Exports from Iran are possible too, but this requires normalization of ties between Washington and Tehran, which is facing Western pressure over its nuclear program.
Erdogan expressed confidence that gas producers in the Caspian and Middle East regions, particularly Azerbaijan, Turkmenistan, Iraq and Egypt, will turn into a part of the Nabucco project in a certain period of time. Efforts will also be made to provide suitable conditions for Iranian and Russian supplies in the future, he added.
Talks on the 8 billion euro Nabucco project, in particular, sources of fuel for the pipeline, have been underway for several years. Negotiations intensified after this year`s gas dispute between Russia and Western-leaning Ukraine, which had threatened supplies to European markets.
We recall that the governments of the Nabucco transit countries - Turkey, Bulgaria, Romania, Hungary, and Austria - signed a historic deal in Ankara on July 13 on launching construction of the pipeline. The Nabucco Intergovernmental Agreement is seen as a bid to curb Russia`s dominance on gas supplies to world markets. Nabucco investor group includes Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE companies, each of which owns 16.67 percent in the Vienna-based Nabucco Gas Pipeline International GmbH, the pipeline consortium.
Turkish Minister of Energy and Natural Resources Taner Yildiz has said a new operating company will be set up under Botas as part of the Nabucco project.
The Nabucco consortium is currently the only organization dealing with the project implementation. However, separate companies will be established for the purpose in each of the six partner states in the coming months.
The new Turkish company will receive a loan from the European Bank for Reconstruction and Development (EBRD). BOTAS will invest in building the Turkish section of the pipeline as well.
According to Yildiz, the statements Iraq and Syria made at the signing of the Nabucco agreement and the pledges Turkmenistan had made prior to the ceremony are pivotal for filling the conduit.
He emphasized that, if the project is realized, Turkey`s net profits will amount to 4.2 billion euros, excluding transit costs.
``The Nabucco pipeline is not simply a project, it is an idea bringing closer nations and states,`` Erdogan said in a traditional address to the nation.
The Turkish premier said the governments and companies involved in the project should now take more vigorous steps to realize it. He emphasized that the project will be beneficial for Turkey, the region as well as all countries to be crossed by the pipeline, and will boost international cooperation.
``We realize the benefits this project will bring. These new opportunities will also give an incentive to the implementation of other regional projects,`` Erdogan said.
The 3,300-kilometer Nabucco pipeline is to pump gas from the Caspian region, the Middle East and Central Asia to Europe - via Azerbaijan, Turkey, Georgia, Bulgaria, Hungary, Romania and Austria. Construction of the Nabucco pipeline is due to begin in 2011, with its commissioning expected in 2014. When fully operational, it could carry 31 billion cubic meters of gas annually and supply between 5-10 percent of the EU`s projected gas needs in 2020. So far, only Azerbaijan, Iraq and Egypt have pledged to export their gas via the pipeline. The United States and European countries are seeking to secure deliveries from Turkmenistan and Kazakhstan as well. Exports from Iran are possible too, but this requires normalization of ties between Washington and Tehran, which is facing Western pressure over its nuclear program.
Erdogan expressed confidence that gas producers in the Caspian and Middle East regions, particularly Azerbaijan, Turkmenistan, Iraq and Egypt, will turn into a part of the Nabucco project in a certain period of time. Efforts will also be made to provide suitable conditions for Iranian and Russian supplies in the future, he added.
Talks on the 8 billion euro Nabucco project, in particular, sources of fuel for the pipeline, have been underway for several years. Negotiations intensified after this year`s gas dispute between Russia and Western-leaning Ukraine, which had threatened supplies to European markets.
We recall that the governments of the Nabucco transit countries - Turkey, Bulgaria, Romania, Hungary, and Austria - signed a historic deal in Ankara on July 13 on launching construction of the pipeline. The Nabucco Intergovernmental Agreement is seen as a bid to curb Russia`s dominance on gas supplies to world markets. Nabucco investor group includes Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE companies, each of which owns 16.67 percent in the Vienna-based Nabucco Gas Pipeline International GmbH, the pipeline consortium.
Turkish Minister of Energy and Natural Resources Taner Yildiz has said a new operating company will be set up under Botas as part of the Nabucco project.
The Nabucco consortium is currently the only organization dealing with the project implementation. However, separate companies will be established for the purpose in each of the six partner states in the coming months.
The new Turkish company will receive a loan from the European Bank for Reconstruction and Development (EBRD). BOTAS will invest in building the Turkish section of the pipeline as well.
According to Yildiz, the statements Iraq and Syria made at the signing of the Nabucco agreement and the pledges Turkmenistan had made prior to the ceremony are pivotal for filling the conduit.
He emphasized that, if the project is realized, Turkey`s net profits will amount to 4.2 billion euros, excluding transit costs.