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Turkey, Azeris to Form Gas Link Venture Next Year, Anatolia Says

State Oil Co. of Azerbaijan, or Socar, and Istanbul-based Boru Hatlari Ile Petrol Tasima AS plan to form a venture to build a gas pipeline across Turkey by the middle of next year, the state-owned Anatolia News Agency said, citing an Azeri energy official.

The Trans-Anatolian gas pipeline, which may cost $6 billion to $7 billion and have a capacity of 21 billion cubic meters a year, is planned to be completed by 2017 when the second phase of the BP Plc-operated Shah Deniz project starts producing natural gas, Anatolia said, citing an interview Socar Vice President Vaqif Aliyev.

The project seems more “doable” than the European Union-backed Nabucco pipeline project, which has some “unresolved issues,” although it won’t undermine Nabucco, Anatolia said, citing the Socar vice president. Turkish and foreign companies may participate in the construction, the news service said.

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