ANKARA - Energy and Natural Resources Minister Hilmi Guler left for Azerbaijani capital Baku on Monday to sign final agreement about the Baku-Tbilisi-Ceyhan crude oil pipeline project after provision of necessary finance.
Releasing a written statement on Monday, the Ministry of Energy and Natural Resources said that Guler and accompanying delegation would pay a visit to Baku as the guest of President Ilham Aliyev of Azerbaijan and attend a signing ceremony to be held on Tuesday.
According to project finance plan, 70 percent of estimated cost will be provided by international finance organizations and the remaining 30 percent will be met by companies.
Nearly 20 international creditor organizations including World Bank, International Finance Corporation (IFC), U.S. Eximbank and European Bank of Reconstruction and Development (EBRD), will approve loans to finance Baku-Tbilisi-Ceyhan crude oil pipeline project.
After finalization of financing procedures, President Aliyev of Azerbaijan and Energy and Natural Resources Minister Guler will sign the final agreement on Tuesday.
The 1,760-kilometre pipeline will transport Caspian basin oil to the Mediterranean. It was planned to start oil transportation in the first months of 2005.
The Baku-Tbilisi-Ceyhan crude oil pipeline project will have an annual capacity of nearly 50 million tons. 1,070-kilometre part of the pipeline will be constructed in Turkey and cost about 1.4 billion U.S. dollars.
(UK-AÖ) 02.02.2004