Armenia-Iran gas pipeline requires 140m dollars – Russian company official

Noyan Tapan news agency
19 Jul 04

YEREVAN

The Russian company Gazprom has completed a feasibility study for a
gas pipeline from Iran to Armenia, Aleksandr Ryazanov, deputy chairman
of the company’s board, told journalists on 19 July. Prior to that,
Ryazanov held a meeting with Armenian President Robert Kocharyan to
discuss future cooperation between Gazprom and Armenia.

Ryazanov said that under their proposal it will take about nine years
for any pay off from the gas pipeline to be felt. “Some sources of
financing have now emerged and once we decide on them, we will have no
problems with the construction,” he said. About 140m dollars are
needed to build it. He said that the construction could either be
funded from interstate credits or at the expense of Russia. It is
possible of course that the pipeline will be constructed at the
expense of Gazprom, but the company sets “tough conditions”. The
construction of the Armenia-Iran pipeline is of strategic importance
as the gas pipeline going through Georgia is in a bad technical
condition and is in need of repairs,” Ryazanov said.

He said that an agreement had been reached with Armenian President
Robert Kocharyan to continue working on the document about the gas
pipeline. A Gazprom delegation is expected to arrive in Armenia soon
to discuss specific issues regarding the project.

An Armenian-Russian intergovernmental agreement on cooperation in the
gas industry will be probably drawn up soon.

From: Emil Lazarian | Ararat NewsPress