Azerbaijan has opened the first section of the Southern Gas Corridor (SGC), which will supply natural gas from the Caspian Sea to Europe.

The first section of the project was inaugurated by the president of the Republic of Azerbaijan Ilham Aliyev at the Sangachal terminal, nearly 55km from the capital city of Baku.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

Estimated to cost nearly $40bn, the SGC pipeline will eventually connect Shah Deniz 2 gas field in the Caspian Sea with southern Italy travelling through Azerbaijan, Georgia, Turkey, Greece and Albania.

Overall, the pipeline will have three sections – the South Caucasus Pipeline through Georgia; the Trans-Anatolian Pipeline (TANAP) through Turkey; and the Trans-Adriatic Pipeline (TAP), reported Xinhuanet.com.

Natural gas deliveries to Georgia and Turkey are expected to start from this year, while deliveries to Europe are expected to commence from 2020.

“Natural gas deliveries to Georgia and Turkey are expected to start from this year, while deliveries to Europe are expected to commence from 2020.”

This new corridor is expected to reduce European dependence on Russian exports as well as increase natural gas supply sources.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

At the inauguration ceremony, President Aliyev said Azerbaijan does not have access to the world ocean seas, making it imperative to build pipelines to supply petroleum and natural gas to other countries.

The Baku-Supsa oil pipeline, the first international pipeline from Azerbaijan to Georgia’s Supsa, was commissioned in 1999.

He added that the Southern Gas Corridor is very important to the country and ‘indispensable’ to diversify the country’s energy resources.

Azerbaijan has a confirmed gas reserves of 2.6 trillion square metres, which may increase as further exploration continues in the country, opined president Aliyev.