Swiss energy company EGL said on Tuesday that the underlying planning work for the natural gas pipeline Trans Adriatic Pipeline, known as TAP, has now been completed. The construction of the project is due to commence in 2008 while TAP is scheduled to become operational in 2010.
“The new pipeline will provide western European countries better access to the significant natural gas reserves in the Caspian region, Russia and the Middle East. The TAP project is supported by the European Union. Negotiations with project partners are progressing well,” EGL said in a statement.
EGL has been systematically and successfully developing its natural gas operations as a third strategic pillar of its activities since 2003. Long-term reliable supplies and transportation are closely related in this sector. Successful natural gas trading thus also calls for the requisite transport capacities.
“The Trans Adriatic Pipeline is a cornerstone in the systematically implementation of EGL’s gas strategy. Projections and planning for the TAP are now at an advanced stage. Extended basic engineering work began soon after the feasibility study was conducted in 2005. This preparatory work, assessing both the technical and the environmental aspects, was successfully completed in March 2007,” the company said.
The pipeline will be built together with strong partners. Negotiations for this are currently underway, and EGL expects to announce its first partnerships by the middle of the year.
The TAP’s path from Greece through Albania will supply South-East Europe with the natural gas they urgently need, thereby making a considerable contribution towards the region’s economic development and political stability.
EGL said that the pipeline will also be available to third parties interested in long-term transport capacity, despite the fact that EGL wants to use the TAP to transport its own natural gas.
The TAP is supported by the European Union and it is recognized as a Priority Project by the Trans-European Energy Network (TEN-E).
EGL is working with partners on the construction of four combined cycle gas-fired power plants in Italy, three of which are already under way while the fourth is in advanced project phase. The plants, which have a total installed capacity of more than 3,000 MW, of which around 2,000 MW are for EGL’s own power production, are scheduled to come on stream between 2007 and 2009. As a result, the security of power supplies to Italy will increase substantially.