Trans-Anatolian Pipeline

Project Description

On June 27, 2018, MIGA  issued $779,773,701.89 and €286,149,783.65 (about US$330,923,769) in guarantees covering non-shareholder loans from AKA Ausfuhrkredit-Gesellschaft mbH, Banco Santander, S.A., Citibank N.A., Crédit Agricole Corporate and Investment Bank, ING Bank, a branch of ING-DIBA AG, Landesbank Baden-Württemberg, Société Générale, and (together, the Guarantee Holders), to the Azerbaijani State-Owned Enterprise Southern Gas Corridor CSJC (Azerbaijan) in order to finance its share of the Trans-Anatolian Natural Gas Pipeline (TANAP) in Turkey.  The guarantee holders are acting through Citibank N.A., as an Agent on their behalf.[1]

The Project consists of the construction and operation of TANAP, a part of the Southern Gas Corridor value chain, which aims to transport natural gas from Shah Deniz Gas Field to Turkey and Europe.

Environmental Categorization

The project is a category A under MIGA’s Policy on Environmental and Social Sustainability. Click here to view the Environmental and Social Review Summary prepared by MIGA for this investment in the project.

Development Impact
 

The Project will allow Azerbaijan to exploit the natural gas extracted under phase 2 of Shah Deniz and will facilitate the tripling of its gas exports, as well as extend their geographical reach. Southern Gas Corridor value chain will generate significant revenues for Azerbaijan from exports, transportation, tax and royalties that can contribute to its economic development. The Project will increase the diversity and security of Turkey's and Europe's energy supply by bringing natural gas from Azerbaijan to Turkey and Europe. The Project is expected to create employment opportunities directly and indirectly through construction, operation, support services, pipe manufacturing and other activities.