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Construction of €150m Underground Natural Gas Storage to Start in Georgia

“Kreditanstalt für Wiederaufbau (KfW) and Georgian Oil and Gas Corporation (GOGC) will soon conclude a Loan Agreement in the total value of 150 million Euros, according to which an underground natural gas storage facility will be constructed in the country” stated Mamuka Bakhtadze, Prime Minister of Georgia at a press briefing held prior to the Executive Government Meeting today.

As noted by the Head of the Government of Georgia, the country will acquire an infrastructure facility of strategic importance by constructing the natural gas facility, which will significantly increase the energy security of Georgia by thereby reducing our dependence on external sources.

“Project ensures the correction of an imbalance between the supply and demand on natural gas in the country, by thereby meeting the peak demand in winter. I wish to remind everyone that technically speaking it is a very significant challenge and this project is thus very important not only for increasing our energy security, but also to ensure stable supply of natural gas to our citizens” concluded the Prime Minister of Georgia.