1. Trans Anatolian Natural Gas Pipeline Project
Importance of
Trans Anatolian Natural Gas Pipeline Project
for Executing Southern Gas Corridor
2012 Frankfurt Gas Forum
Germany
28 November 2012

2. Stand Points of the Project
Strategic Alliance Between Azerbaijan and Turkey
In December 2011, Turkey and Azerbaijan have signed an agreement for a new gas pipeline project that will connect Turkey's east and west, carrying Azerbaijani gas to Europe.
The new pipeline, named the Trans-Anatolian Natural Gas Pipeline, is being designed by the Azerbaijani state-owned oil company SOCAR
The inter-governmental agreement between the Government of the Republic of Turkey and the Government of the Republic of Azerbaijan, has been signed on Tuesday, June 26th 2012 in Istanbul with broad participation.

3. Stand Points of the Project
Security Supply of Europe:
Source, route and volume.
Shahdeniz sources of Azerbaijan
Shahdeniz 2, Upsheron, Ümid and Babek field
Security Supply of Turkey:
Source, volume and national network.

4. The Southern Gas Corridor
Southern Gas Corridor is needed for the independence of European Union Energy Security.
Decreased gas production and increased demand pushes Europe to pay more importance to develop Southern Gas Corridor.
For this reason, Trans Anatolian Natural Gas Pipeline Project (TANAP) is playing crucial role on the European Energy Security.
Diversification of energy supply routes and provision of energy security in the region and beyond are closely interrelated, it is important to move forward and achieve new results in the implementation of plans and projects that are drew up in the last few years.

5. Natural Gas Supply-Demand
Projections of Europe
Most possible scenario-
Blue one- …
Jeroen de Joode,
European gas market developments in different energy transition scenarios

6. Natural Gas Resources of Azerbaijan
Reserves of Absheron, Umid, Babek, and Nakhchivan: 1.25 tcm of gas and more than 200 mln. tons of condensate*
Shah-deniz Reserves: 1.2 tcm gas, 240 mln. Tons condensate
Shah Deniz-1; Plateu production 9 bcma
Shah Deniz-2; Plateu production 16 bcma
*Ilham Nasirov, Deputy General Manager
Investment Division, SOCAR

7. Supply-Demand Projection of Turkey
Natural Gas
Supply-Demand Projection of Turkey
High grow rates, no new contracts case.

8. Short Intro / Highlights of the Project
Objective: Transport of Azeri and Regional Gas Supplies to Turkey and to Europe
Capacity: BCM
Shareholding: SOCAR-BOTAŞ-TPAO
(BP-Statoil-Total)
Target Operation: 2018
Target Markets: Turkey and Europe (TAP/NIC)

9. Initially Planned Corridor

10. Critical Milestones IGA 1- 25 Oct. 2011 Gas SPA - 25 Oct. 2011
MoU 26 Dec (ratified)
Project Company (TANAP Bv.) – June 2012
IGA-HGA 26 June 2012 (pending ratification)

11. Current Activities/Status
Preliminary/Conceptual Studies for:
Routing and Route Verification
ESIA / EIA
Permitting
Mapping
Technical Feasibility ongoing (sensitivity analysis)
Policy and Strategy setting ongoing
Organizational Set-up ongoing

12. Way forward : Critical Milestones – Development Plan
Technical Studies
PMOE assigned
Engineering Contractor assigned
ESIA/EIA
Engineering
Permitting
Procurement of LLI and EPC
Land Acquisition and Construction
Commercial Framework:
Project Entity set-up including Shareholders Agreement
Transportation Agreements
Financing Arrangements
Operation Agreements
Objective is to ensure commercial operation by 2018

13. THANK YOU