 | Azerbaijan, georgia finally sign transit deal |
Georgia to get 5% of gas in transit fees By Anar Jabrayilli & Saba Agayeva Azernews Staff Writers
September 29 finally saw the completion of the protracted Azeri-Georgian talks on Azeri Shah-Daniz natural gas transit through Georgia to Turkey, as presidents of Azerbaijan Heydar Aliyev and of Georgia Eduard Shevardnadze signed the agreement on the Baku-Tbilisi-Erzurum gas pipeline. The signing took place during Georgian President’s one-day vsit to Baku last week.
The deal was scheduled for signing in July, but delayed due to the disagreement over some of its provisions. A corresponding agreement was signed by the Azerbaijan and Turkish governments in March 2001.
During their two-hour close-door meeting on Saturday, the two presidents discussed prospects of bilateral relations, cooperation in regional projects, situation in the Caucasus, and security and stability matters. Also on agenda were some issues of international importance.
The tete-a-tete meeting was followed by the one on the level of delegations. Explaining the position Baku sticks to in the issue of restoration of peace and stability in South Caucasus, the Azeri President said in order to do away with all conflicts in the region it was necessary to establish the relations of friendship among all countries, which could give an impulse to economic cooperation among Azerbaijan, Georgia and Armenia. He then underscored the significance of the TRACECA project, which contributes to the revitalization of the ancient Silk Route.
In his remarks, Mr. Shevardnadze brushed off media allegations that Georgia and Azerbaijan had allegedly severed relations with Russia, saying that Russia is very closely involved in energy projects of the Black and Caspian sea basins. He added that both Azerbaijan and Georgia are and will be buying gas from Russia.
The Georgian president said his country attaches tremendous importance to the pipelines expected to be built through its territory.
Following the meeting the parties signed a package of inter-governmental agreements and documents on the transit, transportation and sale of natural gas. Signing the documents first were Georgiy Chanturia, president of the Georgian International Oil Corporation, and Majid Karimov, the Azeri fuel and energy minister. The documents were then signed by the presidents of the two countries.
Addressing the signing ceremony, President Aliyev said both their private meeting and the one on the level of delegations had been a success. Signing of the document carries immense importance and is part of a new oil strategy Azerbaijan has pursued since 1994.
"Back when the Contract of the Century was being signed we were considering oil export alternatives and I think we have chosen the right way", H. Aliyev said.
He then spoke of the successful solution of the Baku-Supsa, Baku-Novorossiysk and Baku-Tbilisi-Ceyhan pipeline issues, adding that there is a trillion cubic meters of gas in the Shah-Daniz field. He then indicated that the export route through Georgia represents historic importance for Azerbaijan, Georgia, the entire region, and for their integration with Europe. The Azeri President then expressed his confidence that the Baku-Tbilisi-Ceyhan and Baku-Tbilisi-Erzurum pipeline projects would be successfully implemented and that this would give both countries economic and political dividends and contribute to regional security.
Under the document, Georgia will receive 5% of natural gas in compensation for the transit of gas through its territory.
Mr. Shevardnadze congratulated the audience on the occasion of signing and described the Shah-Daniz project as a large-scale one. He then praised his Azeri counterpart for making the signing happen at last.
"There were some complications, but the Azeri President made a decision in favor of Georgia and contrary to Azerbaijan's interests. This is evidence to the fact that Azerbaijan is a reliable neighbor", he said.
The main talking point during a subsequent news conference was the security of the gas pipeline amid accusations of Georgia and Azerbaijan of terrorist links. H. Aliyev said it was no easy task, especially given the conflicts in the region.
"But if we have coped with other challenging tasks, I am sure we can handle this one too", he said.
Eduard Shevardnadze told journalists that benefits of the western route of Caspian oil and gas transportation was first admitted by Ludwig Nobel 110 years ago. Concerning the fact that some experts were taking a dim view of the prospects of the pipeline, Heydar Aliyev said to have overcome all the difficulties means how much stronger the republic has become.
«Therefore, I am sure that we will succeed in implementing the project and putting the conduit into service in 2004», he said.
As far as allegations of terrorism are concerned, H. Aliyev stated that presidents of the two countries had themselves been target of terror attacks.
"Azerbaijan has always been opposed to terrorism, separatism, extremism and religious fanaticism", he announced.
Mr. Shevardnadze agreed with his counterpart, saying "Terrorism must be eradicated".
Asked what Azerbaijan and Georgia would do to combat terrorism within the CIS, Mr. Aliyev said there was no need to make any division of responsibilities in the struggle against a universal evil.
In response to a question whether the persecution of Azeris in Georgia was a part of the state policy, the Georgian President said, "Everything is alright there".
Shah-Daniz partners welcome gas export deal
The Shah-Daniz partners welcomed Saturday the intergovernmental agreements and related accords signed in Baku between the Azerbaijan and Georgia for the transit, transportation and sale of natural gas. The agreements signed by President Heydar Aliyev and President Eduard Shevardnadze will pave way for the development of the world-class Shah-Daniz border to link up to a new BOTAS pipeline to Erzurum.
In a statement issued Saturday in Baku the Shah-Daniz partners said, "We are pleased to witness this major milestone which will enable the delivery of Azeri gas to Georgia and onward to Turkey. We consider that this is a good deal for both Georgia and Azerbaijan. The Shah-Daniz project is currently in the detalied engineering phase and good progress is being made. The next step required to enable construction activities to commence next year and first gas to be delivered to Georgia and Turkey by 2005 is the enactment of these agreements in Georgia and conclusion of significant commercial agreements with Azerbaijan."
The Shah Daniz partners are: BP with 25,5%, Statoil 25,5%, SOCAR 10%, ELF 10%, LUKAgip 10%, OPEC 10%, and TPAO 9%.
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Issue No.N40 (222) October 3 – 9, 2001, 2001
Baku rules out co-op with Armenia until lands liberatedAzerbaijan, georgia finally sign transit dealNews digestNationParliament newsOpposition newsBusinessOil & gas news
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