Azeri gas export plans still based on one field
Thursday, May 17, 2018
Significance
Azerbaijan will start exporting gas to Turkey via the Trans-Anatolian Natural Gas Pipeline (TANAP) at the end of June and onward to European markets from 2020. TANAP is a key link in the Southern Gas Corridor, which requires expanded production at the large Shah Deniz offshore field.
Impacts
- The Southern Gas Corridor will bind Turkey and Azerbaijan even closer together.
- Azerbaijan will continue importing Russian gas to top up domestic consumption.
- The government will encourage new exploration as it cannot afford a significant fall in hydrocarbon revenues.