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    Russian Pipe Maker Completes Tapi Deliveries

Summary

ChelPipe was hired to supply around 200 km of pipes for the project's Turkmen section.

by: Dalga Khatinoglu

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Natural Gas & LNG News, Asia/Oceania, Europe, Premium, Corporate, Contracts and tenders, Infrastructure, , TAPI, News By Country, Russia, Turkmenistan

Russian Pipe Maker Completes Tapi Deliveries

Russian steel pipe maker ChelPipe has finished delivering pipes for the Turkmen section of the Turkmenistan-Afghanistan-Pakistan India (Tapi) gas pipeline, it said on December 25.

ChelPipe secured a contract from Turkmenistan’s state gas company Turkmengaz in April to supply more than 150,000 mt of large diameter pipes (LDPs) – enough to complete around 200 km of pipeline. The deal was backed by a $219mn loan from the Islamic Development Bank, guaranteed by Russia’s Sberbank.

The Turkmen section of Tapi has a total length of 214 km. A further 774 km of the planned pipeline runs through Afghanistan and 826 km through Pakistan to its border with India. The $10bn project aims to transfer 33bn m³/yr of gas from Turkmenistan’s giant Galkynysh gas field to the other three participating countries.

Turkmenistan has pledged to cover 85% of the project’s $10bn cost, with Afghanistan, Pakistan and India agreeing to invest 5% each. But the group is yet to reach a final investment decision, and many believe the security situation in Afghanistan could still derail the project.