Page 9 - FSUOGM Week 06 2020
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FSUOGM PIPELINES & TRANSPORT FSUOGM
Malaysian firm hired for TAPI equipment
The official ground- breaking for TAPI (pictured) took place in December 2015.
TURKMENISTAN
TURKMENISTAN’S national gas firm Turkmengas is set to acquire materials and equipment for the Turkmen section of the Turk- menistan-Afghanistan-Pakistan-India (TAPI) gas pipeline from a Malaysian firm called Serba Dinamik, local state media claimed earlier this month.
The contract with Serba Dinamik covers the supply and installation of SCADA telemechanics and communication control systems along with gas measuring station equipment.
The announcement is further evidence that work is only just starting on the pipeline, despite past claims to the contrary by the country’s offi- cials. Turkmenistan had a formal ground-break- ing to mark the start of construction of its 214-km section in December 2015. But it was not until April last year that Turkmenistan awarded a contract to Russian pipe mill Chelpipe to supply the necessary pipes. The pipes finally arrived last month.
The TAPI pipeline is designed provide up to 33bn cubic metres per year of gas from fields in eastern Turkmenistan to Afghanistan, Pakistan and India. The Turkmen section is expected to cost $1bn, while the project’s overall cost is budg- eted at $10bn.
TAPI is due to reach its financial close in early 2020. But no public evidence exists to demon- strate that Turkmenistan has been able to secure the investors it needs.
There are also growing signs that India and Pakistan may withdraw their support for TAPI, viewing increased LNG supply as a more realistic means of meeting their future gas needs. Both said last year they wanted to reopen price talks for Turkmen gas via the pipeline.
Turkmenistan is counting on TAPI to alle- viate its considerable economic difficulties. The country's export revenues in recent years have been considerably smaller than in the past, as a result of low energy prices and disruptions in gas sales to Iran and Russia.
In the face of these difficulties, long-time President Gurbanguly Berdymukhamedov has freqently replaced high-ranking officials, accus- ing them of failing in their duties.
Last month, he appointed Berdimyrat Amanov as deputy head of Turkmengaz, replacing Nepes Byashimov, who "couldnot cope with the duties assigned to him." Merdan Roziyev also took over as the deputy head of oil and gas exploration agency Turkmenge- ologiya, after predecessor Gurbanmammet Iskenov also "could not cope with the duties assigned to him."
Earlier this month the president’s top energy advisor Yagshigeldy Kakayev was among a num- ber of officials to be given a reprimand for short- comings, suggesting further personnel changes may be on the way.
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