Home / Economy / Azerbaijan’s SOCAR: No Financial Obstacles to Developing TANAP Project

Azerbaijan’s SOCAR: No Financial Obstacles to Developing TANAP Project

There are no financial obstacles to developing the Trans-Anatolian Natural Gas Pipeline (TANAP) project, Vagif Aliyev, head of the investments department at the State Oil Company of Azerbaijan (SOCAR), told the Natural Gas Europe website.

“Despite the low oil price and the need for foreign loans, the development of TANAP continues to follow the projected schedule,” he said.

The Board of Directors of the World Bank will approve the allocation of $1 billion loan to Turkey on July 7, 2016 for financing the TANAP project.

It is expected that additional $1.12 billion will be allocated by the European Investment Bank (EIB).

TANAP project envisages transportation of gas of Azerbaijan’s Shah Deniz field from Georgian-Turkish border to the western borders of Turkey. Turkey will get gas in 2018 and after completing the construction of Trans-Adriatic Pipeline (TAP), it will be delivered to Europe in early 2020. The total cost of the project is estimated at $9.8 billion.

The shareholders of TANAP are: the State Oil Company of Azerbaijan (SOCAR) – 58 percent, Botas – 30 percent and BP – 12 percent.