Director of the Greek DEPA Gas Corporation: Greece is ready to sign gas agreement with Azerbaijan

What volume of Azerbaijani gas does Greece plans to buy?

In short-term outlook, we are interested in concluding an agreement with the Azerbaijani side regarding purchase of 0.5-1 billion cubic meters of gas per year. And we want to get this volume as soon as possible. And in the long-term outlook, we want to sign an agreement to buy gas from the second phase of Shah Deniz field. We want to sign such an agreement this year.

In the future, the ITGI pipeline project will be implemented, through which the gas will be delivered to Greece, as well as to other Balkan countries and Italy. Thus, I think we can receive up to 12 billion cubic meters of gas annually. ITGI project includes a pipeline to Italy, as well as a stretch that goes to Bulgaria. Up to 9 billion cubic meters of capacity of the pipeline per year can be used for Italy, and the remaining capacity of the pipeline can be designed for the Balkan Peninsula.

At what stage is the ITGI project?

We, in particular, are preparing to detailed marine studies. We have not yet begun this work, but have found a company that will carry out the job. ITGI pipeline can be ready by 2016. To Greece, the gas can be delivered now, to Bulgaria - will be delivered in two years, and to Italy - by 2015.

Can the absence of the transit agreement between Azerbaijan and Turkey affect the ITGI project?

Of course. there must be an agreement between Azerbaijan and Turkey in order to move the project forward. Azerbaijan is prepared to provide us with gas in short-term outlook. But the situation should be resolved with the Turkish transit.

Does Greece account for gas from Turkmenistan today?

At this stage we do not consider Turkmenistan. Currently, only Azerbaijani gas is envisaged for ITGI project. Today we are talking in the long-term outlook only about the gas from the second stage of Shah Deniz.

What are the advantages of the ITGI project over other projects of South corridor?

We believe that this project contains competitive transit tariffs. In addition, some stretches of the pipeline is ready. We believe that this project will provide gas to Europe through the Balkan Peninsula as well as through Italy. In addition, decision-making process in this project is faster and easier, since the ITGI project has only two partners [DEPA and Italy's Edison].

What is the demand for gas in Greece today? Are there any short-term forecasts?

The current demand for gas in Greece is about 4 billion cubic meters per year. And we expect that it will double within 5-0 years.

How do you assess the meetings held earlier this week at the Ministry of Industry and Energy, Foreign Ministry of Azerbaijan, as well as at SOCAR?

There are very good relations both between Azerbaijan and Greece and between SOCAR and DEPA. Both sides are interested in supplying Azerbaijani gas to Greece, as well as other countries, including Bulgaria, Italy and later to other European Union countries. Therefore, we need to work hardly in order to be sure that we are able to implement these plans.

/Trend Capital/