Croatia, Hungary and Ukraine to create their own gas corridor

Ukraine, Croatia and Hungary aim to build their own corridor expanding gas pipelines networks. The construction of this corridor will start next year. This gas corridor is planned to be linked to the Trans-Adriatic Pipeline, which is likely to carry Shah Deniz gas to Europe through Turkey. The parts have already reached an agreement on passing of natural gas through all three countries.

By expanding gas supplies, the corridor will enhance the security of energy supplies in the region and would help to reduce Europe’s dependence on Russian gas after pricing disagreements with Ukraine interrupted deliveries to European Union consumers. The project may be financed by European funds, while the Croatian Deputy Foreign Minister Josko Klisovic, said it does not exclude a role of private companies in the project. The TAP, being developed by Statoil ASA (STL), Germany’s E ON and Switzerland’s Axpo, will carry about 10 billion cubic meters of Azeri gas per year to Italy from Turkey’s EU border, via Greece and Albania.TAP come out as the winner in a long race, beating the Nabucco project.

Energy Market Price, 25.10.2013