Baku-Supsa pipe's contribution to economic development of Azerbaijan, Georgia highlighted
By Fatma Babayeva
The Baku-Supsa oil pipeline commissioning gave impetus to the development of the economies of both Azerbaijan and Georgia.
Azerbaijan's Energy Minister Natig Aliyev made the remark in his article published in the official press.
Baku-Supsa oil pipeline still remains a significant infrastructure for both countries, said Aliyev, further adding that the tariff for transporting one ton of oil via Baku-Novorossiysk pipeline cost $15.67, while it only costs $3.14 per ton or $0.43 per barrel via Baku-Supsa pipeline. $1.2 of it ($0.17 per barrel) is the share of Georgia, and the rest belong to Azerbaijan.
The advantage of Baku-Supsa route does not only lay in the fact that Azeri Light crude of Azerbaijan entered the global market at a lower cost for transportation, but also enhanced the strategic cooperation between Azerbaijan and Georgia, said Aliyev by stressing the fact that the energy pipeline stimulated the economic growth.
However, benefits that Azerbaijan and Georgia gained from Baku-Supsa pipeline are not only limited to the financial-economic factors, told Aliyev, adding that this infrastructure also enhanced the independence of both states.
In total, 76.3 million tons of oil has been transported via Baku-Supsa since its commissioning, said the minister.
Baku-Supsa pipeline was launched in 1999. Its length amounts to 827 kilometers. Its diameter is 530 millimeters. The pumping capacity of the pipeline is more than six million tons per year.
The pipeline transports Azerbaijan's Azeri Light oil produced from the Azeri-Chirag-Guneshli block of oil and gas fields.
The operator of the Baku-Supsa pipeline is the Azerbaijan International Operating Company (AIOC).
Worth noting, Georgia has been a close ally of Azerbaijan in the region for a long time. A new gas infrastructure project of Azerbaijan that will connect the Caspian to Europe (Southern Gas Corridor) will also pass through Georgia.
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Fatma Babayeva is AzerNews’ staff journalist, follow her on Twitter: @Fatma_Babayeva
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