ArabianBusiness.com - Middle East Business News
Monday, 09 November 2009 08:45 UAE time

YOUR DIRECTORY /

| Share |

OMV in talks with BP, Shell over Iraqi gas

by This email address is being protected from spam bots, you need Javascript enabled to view it  on Saturday, 15 November 2008
GAS SUPPLIES: OMV is in talks with BP and Shell to buy Azeri and Iraqi national gas to transport through the planned Nabucco pipeline. (Getty Images)
GAS SUPPLIES: OMV is in talks with BP and Shell to buy Azeri and Iraqi national gas to transport through the planned Nabucco pipeline. (Getty Images)

Austria's OMV AG is in talks with BP and Royal Dutch Shell to buy Azeri and Iraqi natural gas for transport through the planned Nabucco pipeline, which the EU hopes will reduce its reliance on Russian imports.

OMV spokesman Thomas Huemer said the talks with BP were related to its leading role in the Shakh-Deniz project in Azerbaijan, while Shell has signed a gas deal with Baghdad that could lead to it becoming a major producer there.

The Nabucco consortium hopes gas from phase 2 of the Shakh-Deniz project will be the bedrock of supplies to help get the pipeline off the ground, with additional supplies coming later from Iraq and possibly Iran and the Caspian region.

Story continues below ↓
advertisement

The shareholders are OMV, Romanian gas pipeline operator Transgaz, German utilituy RWE, Hungarian oil company MOL, Turkish pipeline operator Botas and Bulgarian state gas company Bulgargaz.

OMV said building on the project would start in 2010 and first gas was planned for 2013, but many analysts doubt the project will be able to secure enough gas to get off the ground.

Nabucco spokesman Christian Dolezal said the consortium was confident enough gas would be secured.

The second, $10 billion phase of Shakh-Deniz is expected to come on stream between 2011 and 2012.

BP and Norway's Statoil control Shakh-Deniz, which produces around 15 million cubic metres of gas per day and has reserves of 1.2 trillion cubic metres. (Reuters)

| Share |


READERS' COMMENTS

Disclaimer: The views expressed here by our readers are not necessarily shared by ArabianBusiness.com or its employees.

Click here to post a comment


Add your Comment
All posts are sent to the administrator for review and are published only after approval. ArabianBusiness.com reserves the right to remove any comment at any time for any reason. Please keep your responses appropriate and on topic.
Name *
Remember me on this computer
Email *
(Your email address will not be published)
City
Country
Subject *
Comment *
Notify me of further comments


Please click post only once - your comment will not be published immediately.


MORE FROM ARABIANBUSINESS.COM

TOP IN MIDDLE EAST ENERGY

  1. Foreign firms eye Oman power plant plans
  2. Qatar spends $1.9bn as 2009 power demand rises 14%
  3. Kuwait oil giant CEO eyes solar power move
  4. Oman set to up oil output to 900,000 bpd in 2010
  5. Kuwait oil production seen rising 30% by 2018

TOP MIDDLE EAST BUSINESS STORIES

  1. Saudi Aramco plans to build largest gas plant
  2. Dubai gov't repays $1bn aviation bond
  3. Minister urges more post crisis transparency
  4. Oman firm signs deal for Qatar poultry supply
  5. Batelco to stop dial-up internet service early in 2010

ALSO IN MIDDLE EAST ENERGY

  1. Saudi Aramco plans to build largest gas plant
  2. Making sense of Masdar
  3. Saudi Aramco sees gas supplies up by 30% by 2014
  4. Pressure seen easing on struggling Saudi power grid
  5. Raising output not on OPEC agenda now - UAE oil min

LATEST MIDDLE EAST BUSINESS NEWS

  1. Politics & Economics: Bahrain dockers call off plan for industrial action
  2. Construction & Industry: 32% Qatar infrastructure projects delayed
  3. Construction & Industry: Saudi Aramco plans to build largest gas plant
  4. Transportation: Metro users 40% up on pre-launch estimates - RTA
  5. Transportation: 14 Dubai taxi drivers face fines for 'endangering life'

SHARE PRICE CHECK

RELATED STORIES

BP - UK
| 16 stories
  1. Iraq signs Rumaila oil field deal with BP, CNPC
    8 Oct '09 | News
  2. Iraq to hold second oil field auction
    26 Jul '09 | News
  3. Saudi stays at No 1 in world oil producer list
    11 Jun '09 | News
OMV
| 12 stories
  1. UAE firms to pump gas from Kurdistan for EU pipeline
    17 May '09 | News
  2. Yemen receives oil investment offers
    21 Feb '09 | News
Royal Dutch Shell plc
| 82 stories
  1. Lower taxes lure big oil to Iraq oilfield deals
    14 Oct '09 | News
  2. Iraq may miss Shell gas deal deadline - spokesman
    22 Sep '09 | News
  3. Shell gas deal seen delayed past Iraq elections
    5 Sep '09 | News

RELATED LINKS

  1. Royal Dutch Shell plc»
Related links open in a new window and are not endorsed by ArabianBusiness.com.

 EMAIL ALERTS

  1. BP - UK

  2. OMV

  3. Royal Dutch Shell plc

  4. Energy


Tell us your story

CURRENT ISSUE


 

READER COMMENTS

  1. The tipping scandal 13
    09 Nov ' 09 at 07:25
    It is all very well for Damien to report that we should give waiters cash. However, this is a no win situation as the waiters just go...   More  »
  2. The party's just beginning 11
    08 Nov ' 09 at 22:41
    If the party is just beginning, someone forgot to tell the guests-- they aren't going to be showing up anytime soon!!!!!   More  »
  3. Al Habtoor chief upbeat on Dubai future 09
    08 Nov ' 09 at 22:21
    I truly understand those who witnessed the crazy race to real estate, figures tripling in a gap of a year. That wasn't the reality....   More  »

Read all user comments >

Gitex 2009

MORE FROM ARABIANBUSINESS.COM

JOBS

SPECIAL REPORTS

SURVEYS & REPORTS

PROPERTY