The Southern Gas Corridor project aims to increase and diversify European energy supply by bringing gas resources from the Caspian Sea to markets in Europe. The Southern Gas Corridor comprises the following four projects: (i) operation of Shah Deniz natural gas-condensate field (“SD1” project) and its full-field development (“SD2'” project), (ii) the operation of the South Caucasus Pipeline (“SCP” project) and its expansion (“SCPX” project), (iii) the construction of the Trans-Anatolian Natural Gas Pipeline (“TANAP” project) and (iv) the construction of the Trans Adriatic Pipeline (“TAP” project) (SD2, SCPX, TANAP and TAP collectively, the “Projects”). The Projects have an estimated investment cost of approximately US$40 billion. Upon completion, the SD2 project will add a further 16 bcm of natural gas per annum to 10.9 bcma (maximum production capacity) already produced under SD1 project. Total length of the newly constructed SCPX, TANAP and TAP pipelines will be more than 3,200 kilometres.
The entity holding and managing the participating interests of the Republic of Azerbaijan in the Projects is Southern Gas Corridor CJSC.