Turkey opens pipeline tender

Dec 12, 1996 01:00 AM

Turkey has called for bids for construction of a pipeline that will carry Iranian natural gas by 1998. on Dec. 12. The deadline for the bids is Feb. 28. The projected pipeline will stretch from the Iranian border to the Turkish city of Erzurum, some 250 km (156 ml) to the west. Islamic Prime Minister Necmettin Erbakan, who has been seeking stronger ties with the Islamic world since taking office in June, signed a $ 20 bn natural gas deal with Iran during an August trip to Tehran. Iran will also build an 276-km-(172-ml)-long pipeline from its Western city of Tabriz to the Turkish border. Both pipelines are expected to cost each side $ 200 mm. Under the agreement, Turkey will buy 3 bncm of natural gas from Iran at the beginning of the 1998. The amount will be increased to 10 bncm in 2005.

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