Civil Georgia, Georgia
Feb 22 2005

Saakashvili: Talks with Russia Underway over Privatizing Gas Pipeline
System

In an interview to the Italian newspaper La Stampa published on
February 20, Georgian President Mikheil Saakashvili said that talks
are underway with the Russian energy giant Gazprom over privatization
of Georgia’s gas pipeline system.

`Negotiations are in process… I prefer not to say more,’
Saakashvili answered when he was asked whether Georgia intends to
sell its gas pipelines to Russia.

Gazprom makes no secret about the fact that the company is interested
in privatizing Georgia’s gas pipeline system. The Georgian gas
pipeline system includes pipes which distribute gas in the Georgian
regions and pipelines which are used for transporting gas from Russia
to Armenia. Observers say that the state-run Gazprom is mainly
interested with taking over transit gas pipelines.

Representatives of Gazprom visited Georgia late in January; however
the Georgian leadership claimed that selling of gas pipeline system
was not on agenda.