Russian Prime Minister Viktor Zubkov has signed a decree instructing the Industry and Energy Ministry and Foreign Ministry to hold negotiations with Kazakhstan and Turkmenistan to construct the Pre-Caspian gas pipeline, Russia’s government’s press service said.
After an understanding has been reached, the parties are to sign a cooperation agreement on the construction of the Pre- Caspian gas pipeline. In the planned agreement, the parties would reaffirm earlier commitments and make new pledges.Russia, for example, would reiterate its pledge under an agreement with Turkmenistan of April 10, 2003, to buy up to 10 billion cubic metres of gas a year on the Turkmen-Kazakh border.
Russia would also pledge to buy a total of up to 20 billion cubic metres of gas a year from Turkmenistan and Kazakhstan on the border of each of these countries via an authorised organisation at what is described as “a fair price.” Russia would, furthermore, organise and pay for the transmission of Turkmen and Kazakh gas through Kazakh territory.
Russia would also promise to increase the capacity of its gas transmission system via measures such as building new facilities to be able to accept a total of up to 20 billion of Turkmen and Kazakh gas on the Russian-Kazakh border.
Turkmenistan would also commit itself to increasing the productivity of its gas transmission system to enable it to handle up to 10 billion cubic metres yearly.This may involve building a new transmission system extending as far as the Karabogaz gas measuring station. Kazakhstan would pledge to carry up to 10 billion cubic metres of Turkmen gas a year through its territory.
It would also make a commitment to increase, via a Kazakh authorised organisation, the capacity of its transmission system to a total of 20 billion cubic metres a year. This would also involve building new facilities. The Kazakh system would carry Turkmen and Kazakh gas as far as the Alexandrov Gai gas measuring station on the Russian border. Kazakhstan would also deliver up to 10 billion cubic metres of Kazakh gas to the Russian border to be sold to a Russian authorised organisation at a “just market price.”