21:39 GMT +305 December 2016
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    BAKU-TBILISI-CEYHAN OIL PIPELINE STARTS "BREATHING DEEP"

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    BAKU, FEBRUARY 3 (RIA NOVOSTI CORRESPONDENT GERAI DADASHEV) - 2.6 billion dollars will be allocated to credit "the superproject of the century", the Baku-Tbilisi-Ceyhan oil pipeline, president of the State Oil and Gas Company of the Republic of Azerbaijan, Natik Aliev said at the ceremony of signing the financing agreement.

    The European Bank for Reconstruction and Development and the International Financial Corporation will allocate 500 million dollars, the export-import agencies representing six countries - 1,166 million dollars, the four sponsors - the BP, Total, ConocoPhilips and Statoil companies - another 923 million dollars.

    A syndicate of 15 commercial banks representing 18 countries will attract 936 million dollars of credits, Natik Aliev said.

    Five credit agreements of the financing package (27 documents) have been inked in Baku.

    The Baku-Tbilisi-Ceyhan pipeline, designed to pump Caspian oil to the world markets via the Turkish Mediterranean port Ceyhan, is 1,767 kilometers long.

    Its throughput capacity is 50 million tons of oil annually. Construction work began in April 2003 and is to be over in the 2004 fourth quarter.

    The export of Azeri oil from Ceyhan is scheduled for the second quarter of 2005.

    The total cost of the project is 2.95 billion dollars, the bulk of which is to be shouldered by the international credit institutions. Fifty five percent of construction work on the project has already been completed.

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