Trans
Adriatic Pipeline (TAP), which will initially deliver 10 billion cubic meters
of Azeri gas to Europe, may find financing from the European Bank for
Reconstruction and Development (EBRD) and the European Investment Bank (EIB),
according to statements from the banks.
TAP
is a 878 kilometer-long cross-border natural gas pipeline, currently under
construction, stretching from the Greek/Turkish border crossing Greece, Albania
and the Adriatic Sea to Italy. TAP will connect at its entry point to the Trans
Anatolian Pipeline (TANAP) in Turkey.
The
total cost of the project is foreseen to reach €4.5 billion. TAP's initial
capacity of 10 billion cubic meters of gas per year is calculated to be
equivalent to the energy consumption of approximately seven million households
in Europe.
The
Press Officer at EIB, Marco Santarelli, told Anadolu Agency that the project
was presented to the board of the bank at its last meeting of the year amid a
very busy agenda and a decision on its financing would be made at the board's
first meeting in 2018.
"The
board decided that, given the unexpected length of discussion on other agenda
points, there wasn't enough time left for a proper discussion of this important
project. The due diligence is done and the project has been proposed to the
Board. Now it is for the Bank's directors to discuss and decide. This will
happen in February at the first meeting of the Board in 2018. No change in
attitude or approach by the Bank," he confirmed.
It
has not yet been confirmed how much of a loan the EIB will give to TAP.
-
EBRD evaluates loan of €500 million
The
EBRD said the project's environmental and social due diligence is ongoing in a
statement late Tuesday, but affirmed that the project could attract a loan of
up to €500 million.
"Stretching
across five countries where the EBRD operates in the Southern Gas Corridor - of
which the TAP project is an integral part - is an important strategic gas
infrastructure project aimed at improving the security and diversity of the energy
supply to Europe and Turkey," the statement read.
"It
will expand gas supply options and provide new energy transportation routes
enabling Europe to access gas from the Caspian region and, in the longer term,
beyond it, including the Eastern Mediterranean, Central Asia and the Middle
East," according to the EBRD.
The
project's construction commenced in 2015 and so far 58 percent has been
completed. The project is scheduled for realization in the fourth quarter of
2019 in time for receiving first gas in 2020.
Project
company TAP AG is the constructor, owner and operator of the project. Partners
BP (U.K.), Snam SpA (Italy), Southern Gas Corridor Company (Azerbaijan) each
have a 20 percent stake, Fluxys SA (Belgium) has a 19 percent share, Enagas
(Spain) has 16 percent interest and Axpo Trading (Switzerland) has a 5 percent
share in TAP AG.
(
Anadolu
Agency)