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Iran-Armenia gas pipeline construction to start this year

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  • Iran-Armenia gas pipeline construction to start this year

    ArmenPress
    March 30 2004

    IRAN-ARMENIA GAS PIPE-LINE CONSTRUCTION TO START THIS YEAR

    YEREVAN, MARCH 30, ARMENPRESS: Negotiations on the construction of
    Iran-Armenia gas pipe-line are in their final phase, Armenian Energy
    Minister Armen Movsisyan said March 29. He noted that Gas Export
    National Company will build the Iranian section of the pipe-line
    Armenian will build its section. Initial estimates show that some 100
    million USD will be spent to build the pipeline on the territory of
    Armenia. A little more money is needed to build the pipe-line on the
    Iranian side, the minister said.
    The final agreement will be signed in April during when Iranian
    Minister of Gas and Oil is expected to visit Armenia. The agreement
    envisages that the construction will start later this year and is
    expected to last 20 months.
    The sides have agreed on the volume, price and other technical
    issues of gas deliveries. These matters can be discussed after
    signing the agreement. However the conditions are acceptable, the
    minister noted.
    In Armenia a new pipe-line will be built in Agarak-Kajaran. In all
    other parts, capacities of old pipe-lines will be strengthened, A.
    Movsisyan said.
    Gas supplies to third countries was not officially negotiated.
    Neither EU nor any other country has allocated financial means for
    that. However, interested countries have expressed willingness to
    participate in the construction. Presently, several Russian, Chinese,
    Italian companies negotiate with the Armenian side.
    Speaking on the importance of the pipe-line, the minister noted
    that it facilitates the energy security in the country, provides with
    stable sources of gas and is an energy guarantee for prospective
    investors.
    We can't look at the gas pipe-line as a precondition for the
    closure of ANPP, the minister said, as the gas pipe-line is not a
    source of alternative energy.
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