Management consultants for TAPI being shortlisted today
Islamabad - The partner countries of Turkmenistan-Afghanistan-Pakistan-India (TAPI) pipeline project are meeting today (Saturday) in United Arab Emirates (UAE), which is also the main office of project, to shortlist the companies for the project management consultants, it was learnt reliably here.
The Interstate Gas System (ISGS) has received offer for the execution of Afghanistan portion of Turkmenistan-Afghanistan-Pakistan-India (TAPI) project, the source claimed.
“Pakistan has become a brain of the TAPI project and was offered the execution of both Pakistan and Afghanistan portions of the project,” the source added.
“We have the capabilities to implement such projects but our first priority will be to work on the Pakistan portion of the project which is more technical as compared to the Afghan side,” the source said, adding that the Afghan side is easy project as it involves only the laying of pipeline.
Regarding Pakistan, the source said that the main work will be here as compressor will be installed in this portion.
Work on the removal of landmines from the pipeline sites, in Afghanistan, have already been going on and as soon it will be completed work on that portion will also be started.
The contract for Afghanistan and Pakistan regions will also be awarded by TAPI company but ISGS has been offered to perform key role, the source explained.
It is pertinent to mention that TAPI company, set up by the partner states, will run and maintain the pipeline whereas Afghanistan, India and Pakistan will pay a tolling fee.
TAPI member states have already signed an initial investment agreement.
A company, for TAPI, was registered in 2014 in which Afghanistan, Pakistan and India have 5 per cent shareholding each and the remaining 85 per cent shares are held by Turkmenistan.
Being a major shareholder, Turkmenistan government is responsible to arrange big portion of the financing.
Besides, TAPI company is planning to hold road shows in different parts of the world to raise funds for the project.
TAPI will carry gas from Turkmenistan's Galkynysh field and will travel 773km in Afghanistan and 827km in Pakistan before ending at Fazilka in Indian Punjab.
The TAPI pipeline will have a capacity to carry 90 million standard cubic metres a day (mmscmd) gas.
The ground breaking for approximately 1,800 kilometre-long TAPI pipeline was performed in December last year in Turkmenistan.
The financial close for the project will be achieved by the end of this year while work will be started in 2017 and is likely to be completed by the end of 2019.
A consortium of Japanese companies is involved in the development of the gas field in Turkmenistan with an investment of $15 billion.
While a Chinese company has got a contract for laying the pipeline over 300 kilometers in Turkmenistan’s territory, the source said.
Pakistan and India will receive 1.325bcfd of gas each while Afghanistan will get 500 mmcfd.