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Turkey and Azerbaijan start building 16 bcm/year TANAP gas pipeline

Turkey and Azerbaijan have officially started the construction of the US$10bn Trans-Anatolian Natural Gas Pipeline (TANAP), a 1,850-km gas pipeline that will connect with the existing South Caucasus Pipeline (Baku-Tbilisi-Erzurum from Azerbaijan to Turkey through Georgia). The TANAP project will deliver gas from the Shah Deniz 2 gas field in Azerbaijan, which is expected to produce 16 bcm/year by the end of 2018. The commissioning of the pipeline will coincide with the start of the field. The TANAP It should deliver 16 bcm/year, with up to 6 bcm/year directed to Turkey and 10 bcm/year to Europe via the Trans-Adriatic Pipeline (TAP) project. The capacity is planned to be gradually increased to 24 bcm/year (of which 18 bcm/year for Europe) by 2022-2025 and eventually to 31 bcm/year (25 bcm/year for Europe) after 2026. TANAP is developed by a consortium of Azerbaijan and Turkey national gas companies SOCAR (58%) and Botas (30%), with BP holding a 12% stake.