Investment decision on Nabucco to be made by late 2011

The Nabucco Pipeline Consortium expects to make a final decision on investing in the "Nabucco" project by late 2011, the project official representative Christian Dolezal said during the V Oil and Gas Trading and Transportation Conference in Baku today.

He said that at present the most important step in implementing the project is negotiations with potential gas suppliers, particularly with partners in the development of the Azerbaijani Shah Deniz field.

"We expect to take a final investment decision on the project by late 2011. However, all will depend on suppliers," Dolezal said.

He said that after receiving commitments from suppliers it will be possible to begin the "open season" process, after which a final decision on investment can be made.

Dolezal stressed the importance of the Declaration on the Southern Gas Corridor signed between Azerbaijan and the European Commission earlier this year.

According to the project representative, "Nabucco" is supported by international financial institutions, particularly by the European Bank for Reconstruction and Development.

"Nabucco", worth 7.9 billion euros, is designed to transport gas from the Caspian region and the Middle East to the EU. Construction is planned to start in 2012 and first supplies delivered in 2015. Nabucco participants are the Austrian OMV, Hungarian MOL, Bulgarian Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE, each with an equal share of 16.67 percent.


/Trend/