1. European Energy Southern Gas Corridor to EuropeGT

2. Increases in energy demand are driven by economic growth…

3. The fuel mix is set to change significantly…

4. Europe – dependence on imports
European gas demand
European gas suppliers
bcma
bcma
Turkey
SE Europe
Italy
Other Europe
Spain
Netherlands
Germany
France UK
Southern Corridor
LNG
Other pipeline
Russia
Domestic production
Source: BP Energy Outlook 2035, January 2015

5. Central Asia - Proven Gas Reserves
Kazakhstan reserves associated gas linked to large oil or condensate developments with high H2S
Current exports ~ 21 bcma to Russia
Local consumption ~ 18 bcma
Kazakhstan
65 Tcf
Uzbekistan gas used mainly for domestic and local exports
Exports ~ 12 bcma to Russia
Local consumption ~ 44 bcma
Uzbekistan
60 Tcf
85% of reserves in Eastern Turkmenistan
30-50 bcma exports to Russia (suspended)
30 bcma to China w/ new infrastructure
Azerbaijan
47 Tcf
West
20 Tcf
East
125 Tcf
Turkmenistan
10 bcma exports to Iran
Source: BP Statistical Review 2012

6. Gas Reserves for Western Export
South West
Kazakhstan
29 Tcf
Azerbaijan
47 Tcf
Western
Turkmenistan
20 Tcf

7. Caspian Oil and Gas Export Routes

8. Oil and Gas Pipelines in Georgia
WREP (Baku-Supsa)
833 km of 21” pipe;
100,000 bpd
Export Terminal
Total Cost $ 0.6bn
WREP = 9 Partners;
BP share 35.8%
BTC
1768 km of 42”/46”/34” pipe
Volumes: > 1,000,000 bpd
Total Cost $ 4.5bn
BTC = 11 International Partners; BP share 30.1%
South Caucasus Pipeline (SCP)
693km of 42” pipe
9 bcma current capacity
2 Sales gas offtakes, Turkey and Georgia
Total cost: $ 1.3 bn
7 international Partners, BP share 28.8%
SCP Expansion (SCPX)
16 bcma added capacity
The total length of the BTC, SCP and WREP pipelines is more than 3000 kilometers which is five times the distance between the Georgia’s far east and west points.
Georgia is a country which moves 10% of BP’s and 1% of world oil and gas with approximately 99% efficiency and reliability. The total throughput of the three pipelines is more than 308 million barrels per annum.
For BP operations in Georgia Supsa Terminal is a unique facility which provides approximately 1milion barrel storage capacity for the crude oil transported via the Baku-Supsa before loading to oil tankers via off shore loading facilities.
2016 marks BP’s 20 years in Georgia
Transporting ~1% of world oil and gas
$3 billion invested in operational and development projects

9. Shah Deniz – Phase II Contracts to sell gas to Turkey and Europe
16bcma upgrade for
SCP, with >400km new pipeline and 2 compression stations in Georgia
Two new bridge linked platforms provide 16 bcma offshore processing
Existing Stage 1 Platform
To EU markets
New 2000km pipeline across Turkey (TANAP)
New terminal at Sangachal with compressors for Shah Deniz and SCP
500 km of subsea pipeline network in up to 550m water depth
26 subsea wells drilled with 2 semi-submersible rigs

10. The Southern Corridor Shah Deniz Field
South Caucasus Pipeline Expansion (SCPX)
Trans Anatolian Pipeline (TANAP)
Trans Adriatic Pipeline (TAP)
Existing Pipelines

11. The Southern Corridor investors
Trans-Adriatic Pipeline
(TAP)
Trans-Anatolian Pipeline
(TANAP)
Shah Deniz 2 and SCP Expansion (SCPX) BP
SOCAR/SGC
TPAO
PETRONAS
Lukoil
NICO
28.8%
16.7%
15.5%
10%
19%
SGC/SOCAR
BOTAS
58%
12%
30%
SGC
FLUXYS
ENAGAS
Snam
AXPO
20%
16% 5%

12. SCPX in Georgia
SCPX in Georgia

13. Pipeline Expansion – Georgia
Georgia current total demand for gas ~ 2.5bcma of which --
Current: 0.7bcma supplied from SCP; 1.5 from SOCAR; remainder from Russia (~10%)
Future: SCPX will enable up to an additional 0.8bcma gas

15. Pipeline Construction - Georgia
Steel Erection Continue for LEB Track.
Pipe Welding Continue at Process Area.
Duct Bank Installation Continue at Utilities Area.
LEB2.
SCPX Project Progress Photos: CSG2 Road Camp
Period 04-Oct-2014 – 10-Oct-2014

16. Facilities Construction – Compressor Station 1
Cladding activities continued at Control Building.
Cladding continue at LEB1
Cable Supports installation inside LEB1
Steel Erection continue for Power Generation Building
SCPX Project Progress Photos: CSG2 Road Camp
Period 04-Oct-2014 – 10-Oct-2014

17. Facilities Construction - Compressor Station 2
Steel Erection continue for PR-3
Pipe Fit-Up continue at Process Area
Pipe Fit-Up at PR 5
Utilities pipe sleepers.
SCPX Project Progress Photos: CSG2 Road Camp
Period 04-Oct-2014 – 10-Oct-2014

18. The Southern Gas Corridor to Europe