Tri-nation Gas Swap Agreement Could Transform Europe’s Energy Market | OilPrice.com

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The gas swap agreement is anticipated to grow by 70% this year, bolstered by the expansion of Iran’s gas transit infrastructure and a new gas import agreement with Turkmenistan.

Chegeni did not mention the volume of gas he expected to be transited to Turkmenistan this year but

It is unclear how much of that gas would be transited to Azerbaijan but what is certain is that Azerbaijan needs extra volumes of gas both to meet its own growing domestic demand and to meet its export commitments to Georgia, Turkey and Europe.to double the volume of gas it sends to Europe through the Southern Gas Corridor to an annual 20 billion cubic meters by 2027, to help compensate for the loss of Russian gas.

However, even if the drilling confirms commercially extractable reserves it is unlikely that production could begin before 2027. from its Absheron field by the end of this year. However initial production will be only an annual 1.5 billion cubic meters, which has already been earmarked for Azerbaijan's growing domestic gas market, where demand grew by 18 percent between 2018 and 2021.

Unsurprisingly Russia's invasion of Ukraine last year has rekindled interest in Turkmenistan as a source of gas.

 

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