IRAN-ARMENIA PIPELINE CONSTRUCTION PROJECT TO COST ABOUT $240 MLN

ArmInfo
2009-03-20 14:32:00

ArmInfo. Iran-Armenia pipeline construction project will cost about
$240 mln. The construction has been already started, Armenian Energy
and Natural Resources Minister Armen Movsisyan told journalists today.

He also added construction of the new oil terminal in Armenia is also
envisaged within the frames of the project. The building works will
start in 2009 – preparation of building sites and laying of pipes. It
is supposed that a joint stock company will be set up when fulfilling
the project. The Iranian party will give the funds which will be
later returned to it. The minister said the projects documents will
be ready in two months, and the parties will start the building works.

It is envisaged within the frames of the project that the ready oil
products, petroleum and fuel oil, will flow via the pipeline from
the oil refinery in Iranian Tabriz to Armenia. ‘Construction of
the Tabriz-Eraskh oil pipeline is first of all called to satisfy
local oil needs of Armenia’, – the minister said and added that
Armenia needs about 450-500 thsd tons of fuel every year. He also
said that fuel delivery via the pipeline will make it possible to
reduce much the transport expenditure and to form ‘the competitive
prices at the local market’. The project is also important as it will
create an alternative way of the oil products delivery to Armenia,
which will make it possible to raise energy security of Armenia,
the minister said.