OREANDA-NEWS.   Azerbaijan estimates the value of part of the Trans-Caspian Gas Pipeline (TAG), running through the bottom of the Caspian Sea within USD 1-2 bn.

Today in Baku Azerbaijan’s Industry & Energy Minister Natig Aliyev has stated ongoing project of Trans-Caspian gas pipeline has been actively discussed by the European Union, Turkmenistan and Azerbaijan.

"Although the matter of TAG construction has been raised not for the first time, but now it is more actual and is one of the important projects within the Southern Corridor. Currently, all the three parties are working on the creation of two main documents on the start of construction of the gas pipeline," he said.

According to the minister, the first document bears political nature and means support of the leadership of the EU, Turkmenistan and Azerbaijan for the beginning of project construction and recognizes its importance. The second paper implies drafting of an agreement between Azerbaijan and Turkmenistan on construction of Trans-Caspian pipeline.

"The draft documents are almost ready, but there are some strange moments. Turkmenistan has announced readiness to participate in the project and guarantees the provision of 30 bn cu m of gas for transportation via the pipeline, but at the same time it raises the question of the construction site. In particular, the country offers to construct a gas pipeline from its coast, and in such a situation there are questions about the sources of funding, companies or consortia that will carry out transit, the issue of security guarantee and others," the minister said.

According to Aliyev, Azerbaijan’s position is that, regardless of the construction site Azerbaijan guarantees security of transit of gas within the Trans-Caspian project.

"We give full guarantee of security of gas transit from Turkmenistan with use of the existing infrastructure. Azerbaijan guarantees security," the minister said.

The minister added that even if the project is not built from the Azerbaijani coast and if experts do not consider it effective, it could become one of the investment options.

"However, we can not take responsibility, as in the first place Turkmenistan and the EU should be interested in the project, and only then Azerbaijan. We don’t want to interfere in the politics of other countries and will back any decision," he said.

Regarding the cost of the project, the minister said that at this stage it is difficult to name the sum, as far back as in 1998 it was suggested construction of a gas pipeline to Turkey, and its value was estimated at USD 3 bn, but now the prices and the situation have changed, and the cost of the underwater part of the pipeline (approximately 350-400 km) will be about USD 1-2 bn.