Georgia announces construction of €150m underground gas storage facility
In order to ensure uninterrupted gas supply to household consumers and the energy sector, Georgia will construct an underground gas storage facility. Photo: N. Alavidze/Agenda.ge.
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Georgia is taking a giant step forward in the energy sector by building its first underground natural gas storage facility to safeguard the country's energy independence.
In order to ensure uninterrupted gas supply to household consumers and the energy sector, Georgia will construct an underground gas storage facility on the Samgori South Dome oil field.
Prime Minister of Georgia Mamuka Bakhtadze announced today that the German Bank for Reconstruction and Development and the Georgian Oil and Gas Corporation will sign a €150 million loan agreement.
By constructing the gas storage unit, Georgia will obtain a strategically important facility which will significantly increase the energy security of the country by reducing seasonal differences between natural gas supply and demand on the Georgian gas market, supplying additional gas to the pipeline network during peak consumption [periods]”, said Bakhtadze.
The underground gas storage facility is expected to play a key role in gas supply both under normal operational circumstances as well as in case of emergencies.
The Trans-Anatolian Natural Gas Pipeline (TANAP), a natural gas pipeline from Azerbaijan passing through Georgia and Turkey to Europe, has opened today in Turkish city of Eskisehir, reports Trend.az.
High-officials have gathered in Georgia’s capital of Tbilisi to discuss the upcoming natural gas reform in Georgia that will contribute to the expansion of the gas market, attract investments and provide for increased security for the country’s gas supply.
The European Union (EU) is extremely interested in expanding energy cooperation with Caspian Sea countries, said EU Ambassador to Azerbaijan Malena Mardi at the Caspian Oil and Gas forum held in Baku yesterday.
Work has begun today on a new gas pipeline that will travel through Georgia to better connect Europe with gas from the Caspian Sea, thus reducing dependence on Russian gas.