$10B TAPI natural gas pipeline to be operational in 2020
26 Nov 2016 | Ashgabat, Turkmenistan
PM Sharif and Turkmenistan’s President Gurbanguly Berdimuhamedov discuss matters relating to TAPI gas pipeline and reestablishing of air links between two countries.
25 Nov 2016: PM Sharif arrives in Ashgabat on a two-day official visit to Turkmenistan on the invitation of President Gurbanguly Berdimuhamedov.
Sharif is leading a Pakistani delegation to the first-ever Global Conference on Sustainable Transport – 2030 Agenda for Sustainable Development – being held at Ashgabat under the auspices of the United Nations.
UN Secretary-General Ban Ki-moon and Turkmenistan are co-hosting the conference to be attended by 1,500 participants, including heads of state, government, ministers, private-sector CEOs, civil society leaders and the UN officials.
Following the signing of $46B China-Pakistan Economic Corridor, Pakistan is eager to improve connectivity with Central Asian states by establishing transport and communication links. These will be conducive to tapping the potential of trade, economic interaction, people-to-people contacts and tourism.
Pakistan’s rail and road transport corridors can be utilised by land-locked Central Asian countries to have access to Pakistan’s seaports at Karachi and Gwadar. – news reports.
PM Nawaz Sharif and Turkmenistan’s President Gurbanguly Berdimuhamedov discuss TAPI gas pipeline.
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15 Oct: The long-delayed TAPI pipeline project is in the final stages of financing, and investor roadshows are due to be held in November, Mobin Saulat, head of Pakistan’s state-owned Inter State Gas Systems (ISGS), told Reuters.
Originating at the giant Galkynysh gas field in Turkmenistan, the $10 billion TAPI pipeline, which involves the four countries’ own energy companies, would carry 33 billion cubic metres (bcm) of gas a year.
The project’s planned commissioning is 2020.
A total $4 billion for the pipeline has been put forward by the four TAPI countries. ISGS has a 5 percent stake in the 1,814km project.
By August 2016, 23km out of 214km corridor in Turkmenistan was laid.
TAPI gas pipeline (1,814km) alignment:
🇵🇰 Pakistan: 826km
🇦🇫 Afghanistan: 774km
🇹🇲 Turkmenistan: 214km
Cost: $10 billion
Each country contributes: $1 billion
Investor road shows: November 2016
Consortium firms: 🇹🇲 Turkmengaz (lead), 🇦🇫 Afghan Gas Enterprise, 🇵🇰 ISGS and 🇮🇳 Gail.
Operational target date: 2020
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Finally, 25 years in the making, Turkmenistan, Afghanistan, Pakistan, India lay foundation stone of TAPI gas project in Mary city of Turkmenistan.
PM Nawaz Sharif, Afghan President, Turkmenistan President, Indian VP jointly performed the groundbreaking of TAPI.
Sharif said the groundbreaking is the outcome of political acumen of the four regional countries. Afghan President Ashraf Ghani says credit goes to the leaders of Pakistan & Turkmenistan.
With this, construction on the project has started.
12 Dec: Prime Minister Nawaz Sharif arrives in Turkmenistan for TAPI ground breaking.
Ground breaking ceremony of the $10 billion TAPI gas pipeline, covering four nations including Pakistan, was held in Turkmenistan.
Turkmenistan’s state company Turkmengaz will lead the consortium for building the 1,800km-long pipeline carrying gas from the former the Soviet state to energy-hungry Afghanistan, Pakistan and India.
TAPI abbreviation comes from four country names: Turkmenistan, Afghanistan, Pakistan and India.
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Turkmengaz is the consortium leader after foreign firms refused to participate in the project.
French giant Total had initially envisaged interest in leading a consortium of national oil companies of the four nations in the TAPI project.
However, it backed off after Turkmenistan refused to accept its condition of a stake in the gas field that will feed the pipeline.
Other consortium partners include Afghan Gas Enterprise, Pakistan’s ISGS and Indian natural gas giant, Gail.
The TAPI pipeline will have a capacity to carry 90 million standard cubic metres a day (mmscmd) gas for a 30-year period and is targeted to be operational in 2020.
See also: Trade with Iran a Godsend after CPEC?
India and Pakistan will get 38 mmscmd each, while the remaining 14 mmscmd will be supplied to Afghanistan.
TAPI will carry gas from Turkmenistan’s Galkynysh field, better known by its previous name South Yoiotan Osman that holds gas reserves of 16 trillion cubic feet.
From the field, the pipeline will run to Herat and Kandahar province of Afghanistan, before entering Pakistan.
In Pakistan, it will reach Multan via Quetta before ending at Fazilka (Punjab) in India.
Edited excerpts from The Economic Times and Reuters.
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