SOCAR signs MoU on Ionian-Adriatic pipeline with four European countries

The State Oil Company of Azerbaijan Republic (SOCAR) has signed a Memorandum of Understanding on a project for the construction of the future Ionian-Adriatic gas pipeline (IAP) with Croatia, Albania, Bosnia and Herzegovina and Montenegro during the Dubrovnik Forum.

After the ceremony, Croatia's Economy Minister Tomislav Panenic said that the future pipeline would provide gas supplies for southeastern Europe.

“We have defined our joint initiative for the development of the Adriatic-Ionian gas pipeline as a route that will make sure that these markets are provided with gas. We hope that this route will be a connection between the north and the south and that this may pave the way for a full liberalisation of the gas supplies market in Europe,” the Croatian minister added.

Montenegrin Economy Minister Vladimir Kavaric said that the signatories to the agreement were partners rather than competitors in the implementation of this important project.

In 2007, Croatia, Montenegro and Albania signed a declaration on the IAP, which is supposed to be connected to the Trans-Adriatic Pipeline (TAP). The 870-kilometre-long TAP should transport gas from Shah Deniz II, Azerbaijan, via Greece and Albania and the Adriatic Sea, to Italy.

The length of the IAP gas pipeline from Split, Croatia to Fier, Albania is 516 kilometres, and the capacity of this pipeline is set at five billion cubic metres annually.