TBILISI: Baku-Ankara Gas Price Deal

BAKU-ANKARA GAS PRICE DEAL

The Messenger
April 28 2010
Georgia

President of Azeri state oil company Rovnag Abdullayev has stated that
negotiations between Turkey and Azerbaijan over the price of Azeri
natural gas are almost finalised. Both sides have been anticipating
the results of these negotiations as many political and economic
developments depend on them.

The negotiations concern the price of the gas consumed by Turkey or
transported via Turkey and the volume of gas transported there. The
countries were ready to make a final decision some time before but
what would happen on the date of 24 April was crucial for both sides
as this is the anniversary of the humanitarian catastrophe at the
beginning of 20th century when the Armenian population suffered a
great deal. Baku was concerned that Ankara would retreat under Western
pressure and open borders with Armenia, thus scuppering the deal.

If everything goes smoothly the new agreement will be signed either
in May, when the Turkish President visits Azerbaijan, or June when
his counterpart visits Turkey.

It is significant that on April 22 Armenia froze the ratification of
the Turkish-Armenian protocols, in protest that Turkey is demanding
that the Karabakh conflict be settled before the border is opened
and diplomatic relations restored.