Azernews.Az

Nabucco transit countries have confirmed political, legislative and regulatory support for the gas pipeline project, the pipeline consortium said Monday.

"The Nabucco Political Committee meeting of the Nabucco ministers of the transit countries convening in Vienna on Monday confirmed the full political support for the Nabucco Gas Pipeline Project and for the existing intergovernmental agreement giving comfort to investors and producers," Nabucco Gas Pipeline International GmbH said.

The meeting was hosted by the Austrian Energy Ministry and attended by EU Energy Commissioner Gunther Oettinger, Bulgarian Prime Minister Boyko Borisov and the energy ministers of Bulgaria, Hungary, Romania and Turkey, as well as the Nabucco shareholders.

The Political Committee confirmed further that the current legal and regulatory framework for the Nabucco project applies under the current Inter-Governmental Agreement (IGA), Project Support Agreement (PSA) and also for the project starting at the Bulgarian border. The meeting was attended by Azerbaijani Minister of Industry and Energy Natig Aliyev, who gave an overview on the developments from the producer's side.

According to the Managing Director of Nabucco Gas Pipeline International GmbH, Reinhard Mitschek, the commitment of the Political Committee is a crucial factor in making Nabucco the most advanced pipeline project in the Southern Corridor, highly attractive for market participants from all over Europe and Turkey, for gas suppliers, for investors and sponsors.

"We are reducing risks and maximizing a sound legal protection. We welcome this message of support, and look forward to working with the states parties to ensure freedom of choice and energy security for the European consumer," Mitschek said.

In June the consortium of Azerbaijani Shah Deniz gas field development in the Caspian Sea selected Nabucco West as the single pipeline option for potential export of gas to be produced from the second stage of developing the giant field to Central Europe. Shah Deniz Stage 2 is expected to start in late 2017 or early 2018.

Nabucco West is a short-cut version of the Nabucco project, which envisages construction of a pipeline from the Turkish-Bulgarian border to Austria.

The project's shareholders are Bulgarian Energy Holding, Romanian Transgaz, Turkish Botas, Austrian OMV, German RWE and Hungary's FGSZ, each holding a 16.67 percent stake.

Besides Nabucco West, the Shah Deniz consortium currently considers another option to deliver gas to Europe -- Trans Adriatic Pipeline (TAP). Earlier this year the Shah Deniz consortium made TAP a priority route for export of Azerbaijani gas to Italy. The TAP project is designed to transport gas from the Caspian region via Greece and Albania and across the Adriatic Sea to southern Italy and further into western Europe.

The final decision on a pipeline route will be made in 2013.