Page 8 - FSUOGM Week 44 2022

FSUOGM PIPELINES & TRANSPORT FSUOGM

Baku expects EU guarantees for purchase of

extra Azeri gas volumes after 2027

AZERBAIJAN AZERBAIJAN is interested in EU-guaranteed The FT also cited Laurent Ruseckas of S&P
commitments for the purchase of additional vol- Global Commodity Insights, who said that Azer-
Europe is looking to umes of Azerbaijani gas for a long-term period baijan may slightly increase gas exports to Italy
ramp up Azeri gas after 2027, Deputy Foreign Minister Elnur and Bulgaria in the short term, but larger sup-
purchases to 20 bcm Mammadov has said in an interview with the plies would require significant investments in
per year. Financial Times. both production and transportation of gas.
Earlier, in July, Baku and Brussels signed a "No country is going to take on billions of dol-
memorandum on a strategic partnership in the lars of development risk without knowing they
energy sector, which provides for an increase in have a long-term buyer," he added.
the volume of Azerbaijani gas supplies to Europe The European Commission (EC) did not
to at least 20bn cubic metres (bcm) per annum answer the question of whether negotiations
by 2027. "At present, Europe is in dire need of were underway with potential private and pub-
finding alternative suppliers. We need to be sure lic investors in this direction. "Based on the pos-
that this (increase in gas purchases from Azer- itive experience of energy cooperation and the
baijan) is not some spontaneous demand in light successful launch of gas supplies via the South-
of the war in Ukraine, which will end one day, ern Gas Corridor, the EU views Azerbaijan as a
and then you (the EU) will suddenly start buying reliable and strategic energy trading partner," an
(gas) from Russia again and say, that our gas is no unnamed EU official told the UK publication.
longer needed," Mammadov said. Azerbaijan began supplying gas to Europe
According to him, in order to double the - Italy, Greece and Bulgaria - under TAP con-
supply of Azerbaijani gas to Europe, appropri- tracts for 25 years (annual supply of 10bcm)
ate investments are needed and they should be on December 31, 2020. In 2021, Azerbaijan
carried out by all interested parties. Mammadov exported 8.2bcm to Europe. In 2022, gas exports
added that Azerbaijan was ready to make its from Azerbaijan to Europe are projected at
share of the necessary investments, but also 11.5bcm; by 2027, the volume is expected to
expects the EU to step up in this direction. grow to 20bcm. ™

P8 www. NEWSBASE .com Week 44 07•November•2022