Gasprom does no longer trust Azerbaijan and needs consultations on gas extraction, consumption and export till 2025

Gasprom Export LLC company has invited an open tender for the consultation services to forecast the gas extraction, consumption and export in Middle Asia and Transcaucasus, reads the company's information.

Gasprom explained that at present the republics of Middle Asia and Transcaucasus play a significant role in the activities of the concern both from the viewpoint of natural gas trade and stability of the technological and production processes connected with re-export of natural gas extracted in the Middle Asian republics to far abroad.

"Change of the market conjuncture, implementation of new projects in fields of gas extraction and transportation and change of political environment demand analysis of possibilities and consequences of work for Gasprom Export," reads the document.

Gasprom believes that Transcaucasian republics - Armenia, Georgia and Azerbaijan - represent "an unstable region, which, however, can open additional possibilities for sales (Armenia and Georgia), import (Azerbaijan) and regional arbitrage."

Now Middle Asian republics, majority of which are extractive ones, gradually re-orient their gas deliveries to China, which will demand re-evaluation of possibilities of gas import to Russia and defining place of these countries in the export-import portfolio of Gasprom Export. The net exporters among the Middle Asian republics are Kazakhstan, Uzbekistan and Turkmenistan and the net importers are Kyrgyzstan and Tajikistan.

The companies are offered to present the results of research and monitoring in form of analytical passports of the countries. Among the items, which must be mentioned in the passports, are internal political situation, economic situation, energy strategy of the country, power balance and role of natural gas, access of foreign companies into the gas industry of the country (geological exploration, extraction, transportation, storage and distribution), demand in gas, natural gas resources and perspectives of their development, gas balance of the country from 1995 to 2025, natural gas export and import, forecast of natural gas consumption and gas prices till 2025 as well as history of cooperation with Russia, Gasprom and other Russian companies after gaining independence.

Gasprom also offers to supplement the passports with additional information. In particular, evaluation of perspectives of expanding presence at the wholesale and retail market of the Transcaucasian republics and Azerbaijan's additional possibilities of natural gas deliveries to the foreign markets.

It is offered to analyze expanding of China's presence in the gas industry of Middle Asian republics, evaluate perspectives of development of export of Middle Asian gas to China, determine potential volume of natural gas export to Russia, to evaluate cooperation with the EU and future perspectives of such cooperation (including gas deliveries) as well as evaluate perspectives of Gasprom's participation in development of extractive assets, advisability and possibilities of independent marketing on the territory of these countries.

The tender proposals will be opened on November 15, 2012. The term of providing the services is from the date of signing of the contract till January 31, 2013.

* Since January 1, 2010 Gasprom has been buying gas from State Oil Company of Azerbaijan (SOCAR). In 2010 it purchased 799.9 million cub.m. of gas and in 2011 - 1.45 billion cub.m. This year import will total about 1.6 billion cub.m., though it is supposed to be 3 billion cub.m. according to the contract. Soon Gasprom is going to start South Stream project implementation to strengthen its positions at the traditional markets before Azerbaijani gas reaches Europe in 2018. --0--