Second Iran-Armenia gas pipeline on the horizon

Sep 14, 2006 02:00 AM

In a visit to the Armenian capital of Yerevan, Iran's parliamentary speaker Gholam-Ali Hadad-Adel said his country wants to build a second natural gas pipeline to Armenia.
This would augment a $ 220 mm pipeline now in the last stages of completion and due to start up in January to delivery about 36 bn cm over a 20-year contract.

Earlier in 2006, Armenia maintained that the 140-km pipeline was being built with an OD of 1,200 mm, despite Russian pressure to reduce its OD to 711 mm. The pipeline covers 100 km in Iran, with the balance traversing Armenia.
Until now Armenia has depended solely on Russian gas rather than importing hydrocarbons from closer Azerbaijan. That trade is prevented by the long-standing dispute between Armenia and Azerbaijan over the Armenian Nagorno-Karabakh enclave in Azerbaijan.

The report said Armenia will compensate Iran in part for the costs of the first pipeline with deliveries of electricity from a Soviet-era nuclear power plant.

Source: AFP
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