DOCSLIB.ORG

The Project Financing of Cross-Border Pipelines a Presentation to the Energy Charter Workshop Brussels

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
The Project Financing of Cross-Border Pipelines a Presentation to the Energy Charter Workshop Brussels The Project Financing of Cross-Border Pipelines a presentation to the Energy Charter Workshop Brussels by Rubin Weston Chadbourne & Parke 17 October 2006 Regis House, 45 King William Street London EC4R 9AN Tel: +44 (0) 20 7337 8031 [email protected] © 2006, CHADBOURNE & PARKE All Rights Reserved Chadbourne & Parke: Legal Leaders in Energy Representing EBRD on the $180 million and $170 million financings of LUKoil’s and SOCAR’s respective investments in the Shah Deniz gas field and the South Caucasus Gas Pipeline Representing SOCAR on a $750 million loan facility in respect of the repayment of carry financing provided by TPAO and Exxon in respect of the ACG oil field and the financing of future cash calls Representing IFC on a $82 million loan to SC Petrotel-Lukoil SA to finance the modernisation of its refinery in Ploesti, Romania Represented Black Sea Trade and Development Bank and IFC on the financing of the Galata Gas Field, located offshore of Varna, Bulgaria in the Black Sea, the first limited recourse upstream project financing in the Black Sea Represented Transneft on a US $150 million syndicated receivable based financing facility arranged by Raiffeisen, Transneft’s first syndicated loan Represented IFC on the financing for a portion of LUKoil’s share of development of the Karachaganak field, the largest limited recourse petroleum project financing in Kazakhstan Represented Nations Energy on a US $150 million syndicated financing arranged by CSFB for the development of the Karazhanbas oil field in Kazakhstan and the Mishovdag and Kelameddin oil fields in Azerbaijan Represented Rosneft in connection with its participation in the Sakhalin 5 Project 2 Overview of Presentation: Challenges Presented by Cross Border Pipeline Financings Types of Financing What is Project Finance? What are the risks? Case Studies: BTC Oil Pipeline and the South Caucasus Gas Pipeline 3 Challenges Presented by Pipeline Financings High initial investment and delay in revenue generation creates a significant completion risk Number of parties involved, diversity of interests: public sector divergent interests: export country Ö high price transit country Ö high tariff country receiving hydrocarbon Ö low price and low tariff private sector divergent interests: companies of - supply - transportation - purchase public sector v. private sector this diversity of interests creates an increased risk of conflict History of vulnerability to disruption and of generating conflict e.g. oil pipeline established by Iraq Petroleum Company in 1930s to establish an export route for Iraqi oil through Syria was closed for a substantial part of its operating life 4 Types of Financing Sovereign Sponsor Credit supported financing Project financing 5 Sovereign/Sponsor Financing Sovereign and/or sponsor can finance a transaction from its own resources or by raising finance by: bank borrowing accessing the capital markets raising equity (sponsor only) CPC Pipeline financed by 50:50 division between states (Russian, Kazakhstan, Sultanate of Oman) and the project participants 6 Credit Supported Loans Possible sources of guarantees: parent companies sovereign states The underlying transaction must be fundamentally sound (i.e. cash flows should be sufficient to service debt) Recourse to provider of credit support throughout the duration of the Loan. 7 What is Project Finance? Project Finance is non-recourse or limited recourse finance, predicated primarily on the merits of the project rather than on the credit of the project sponsor(s) Parties to a project financing: Either: A financing of the project vehicle project sponsor(s): no/limited recourse in respect of the borrower's obligations to the lender borrower/project company: special purpose vehicle (SPV) that owns the pipeline and has no obligations or liabilities outside the project host governments: grant the concessions necessary for the project to be implemented lenders 8 What is Project Finance? (cont’d) OR A financing of a project participant borrower: SPV, but constitutes a participant in the project, rather than the project company itself project company: may be required to enter into a direct agreement with the lender with respect to certain matters (e.g. acknowledgement of the rights of the lender upon the enforcement of its security) sponsor: the company which owns the borrower; no/limited recourse in respect of the borrower's obligations to the lender host governments: grant the concessions necessary for the project to be implemented lenders 9 Sponsor(s) Host ) (s g y t n i Government i u d Concession l q o (Host Government E h Agreement) e r a 10 h S Direct Agreement an Project Finance: Financing the Project VehicleLo Project Vehicle (SPV) Security over Bank Project Rights Limited Recourse Security over Shareholding(s) Concession (HGA) Host Project Company Government (SPV) Parent y g t Security over i n i Project Finance: Financing a SponsorCompany u Direct d q l ShareholdingSponsor in V o E P h Agreement S e d Shareholding r e n it in a i e h im s Sponsor S L r l/ u l o u c 11 F e R Equity Bank Loan Sponsor Security over Shareholding in SPV and Project Rights Direct Agreement Project Finance: Security Package Security, may include the following: Pledge of shares in borrower Assignment of rights under project agreements Assignment of insurance proceeds Charge of offshore bank accounts Charge over property Guarantees and other support from the sponsor: Guarantees completion cost overrun Support Agreements share retention managerial support 12 What are the Risks? Potential lenders will evaluate various types of risk, including the following risks: Upstream Political Completion Legal Operation Tax Market Regulatory Price / Tariff Environmental Conflict 13 BTC and SCP: Project Summaries Baku-Tblisi-Ceyhan (BTC) South Caucasus Pipeline (SCP) Integrated, one pipeline Integrated, one pipeline company - BTC Company company - South Caucasus Pipeline Company 1,768 km pipeline from Baku to Ceyhan 690 km gas pipeline connecting the Shah Deniz gas field to One million barrels per day markets in Azerbaijan, Georgia capacity; capable of expansion and Turkey. Pipeline runs from Provides capacity for the ACG Sangachal terminal through PSA participants plus other Georgia to Turkey founder investors from the North 20 bcm per annum design Caspian area capacity 14 BTC/SCP: Pipeline Routes 15 BTC/SCP: Contractual Framework The contractual framework can be divided as follows: Inter-Governmental Agreements / Host Government Agreements grant the rights and privileges necessary for pipeline construction and operation BTC/SCP documents provide a framework for future cross-border pipeline projects Commercial Agreements Organisational (constitutional documents and shareholders’ agreement) dictate relationships between participants in the project vehicle, including, financing obligations (i.e. basis pursuant to which cash calls are paid) process by which shares can be transferred appointment of operator voting requirements for specific decisions return on investment, payment of dividends consequences of default Third party dictate relationships between the project vehicle and third parties 16 BTC: Contractual Framework IGA Georgia Turkey Azerbaijan HGAs Third Party Organisational Agreements BTC Documents 17 SCPC: Contractual Framework IGA IGA Georgia Azerbaijan Turkey HGAs Third Party Organisational Agreements SCPC Documents 18 BTC/SCP: Financing Arrangements BTC Financing Arrangements SOCAR/SCP Financing Arrangements $2.589 billion of debt (up to 12 year EBRD provided $60 million of term) financing to Azerbaijan (South Caucasus Pipeline) Limited Approximate debt amounts (AzSCP), a wholly-owned subsidiary ($millions): of SOCAR, and $70 million to Lukoil IFC/EBRD A/B Loans 500 Overseas Midstream Shah Deniz Ltd ECA facilities 766 (Lukoil Midstream), a wholly-owned JBIC Overseas subsidiary of Lukoil Overseas. Each Investment Loan 300 borrower is a 10% shareholder in OPIC PRI Loan 100 South Caucasus Pipeline Company, Sponsor Senior Loans 923 the owner of the pipeline Commercial bank (15) participation EBRD is syndicating a portion of around $1 billion its loans to commercial lenders Security included Security included: completion guarantee / debt service completion guarantees undertaking share pledges in SCP and AGSC assignment of agreements including revenues under the Transportation assignment of AzSCP’s and Lukoil Agreement Midstream’s rights under project agreements pledge of AzSCP’s and Lukoil Midstream’s offshore bank accounts 19 BTC/SCP: Risk Analysis Upstream Azeri-Chirag-Gunashli field is expected to yield in excess of 5bn barrels of oil; peak production of 1 million barrels/day; additional production expected from North Caspian Shah Deniz is estimated to have sufficient reserves and production Completion financial commitment from sponsors – SCP: Substantial Equity – BTC: Substantial Equity and Sponsor Loans high level of confidence in sponsors BTC: BOTAS entered into a lump sum (fixed price) turnkey contract for the Turkish section of the pipeline, which the Turkish government guaranteed 20 BTC/SCP: Risk Analysis (cont'd) Operation quality of sponsors shipper commitments Market BTC/oil: western markets SCP/gas: BOTAS (Turkey) Price / Tariff a minimum return is guaranteed, regardless of volumes shipped 21 BTC/SCP: Risk Analysis (cont'd) Legal IGAs and HGAs override local laws and address key legal
Load more

Recommended publications
  • The Southern Gas Corridor
    Energy July 2013 THE SOUTHERN GAS CORRIDOR The recent decision of The State Oil Company of The EU Energy Security and Solidarity Action Plan the Azerbaijan Republic (SOCAR) and its consortium identified the development of a Southern Gas partners to transport the Shah Deniz gas through Corridor to supply Europe with gas from Caspian Southern Europe via the Trans Adriatic Pipeline (TAP) and Middle Eastern sources as one of the EU’s is a key milestone in the creation of the Southern “highest energy securities priorities”. Azerbaijan, Gas Corridor. Turkmenistan, Iraq and Mashreq countries (as well as in the longer term, when political conditions This Briefing examines the origins, aims and permit, Uzbekistan and Iran) were identified development of the Southern Gas Corridor, including as partners which the EU would work with to the competing proposals to deliver gas through it. secure commitments for the supply of gas and the construction of the pipelines necessary for its Background development. It was clear from the Action Plan that the EU wanted increased independence from In 2007, driven by political incidents in gas supplier Russia. The EU Commission President José Manuel and transit countries, and the dependence by some Barroso stated that the EU needs “a collective EU Member States on a single gas supplier, the approach to key infrastructure to diversify our European Council agreed a new EU energy and energy supply – pipelines in particular. Today eight environment policy. The policy established a political Member States are reliant on just one supplier for agenda to achieve the Community’s core energy 100% of their gas needs – this is a problem we must objectives of sustainability, competitiveness and address”.
    [Show full text]
  • The Struggle for Democratic Environmental Governance Around
    The struggle for democratic environmental governance around energy projects in post-communist countries: the role of civil society groups and multilateral development banks by Alda Kokallaj A thesis submitted to the Faculty of Graduate and Postdoctoral Affairs in partial fulfillment of the requirements for the degree of Doctor of Philosophy in Political Science Carleton University Ottawa, Ontario © 2014 Alda Kokallaj Abstract This dissertation focuses on the struggle for democratic environmental governance around energy projects in post-communist countries. What do conflicts over environmental implications of these projects and inclusiveness reveal about the prospects for democratic environmental governance in this region? This work is centred on two case studies, the Baku-Tbilisi-Ceyhan oil pipeline and the Vlora Industrial and Energy Park. These are large energy projects supported by the governments of Azerbaijan, Georgia and Albania, and by powerful international players such as oil businesses, multilateral development banks (MDBs), the European Union and the United States. Analysis of these cases is based on interviews with representatives of these actors and civil society groups, narratives by investigative journalists, as well as the relevant academic literature. I argue that the environmental governance of energy projects in the post-communist context is conditioned by the interplay of actors with divergent visions about what constitutes progressive development. Those actors initiating energy projects are shown to generally have the upper hand in defining environmental governance outcomes which align with their material interests. However, the cases also reveal that the interaction between civil society and MDBs creates opportunities for society at large, and for non-government organizations who seek to represent them, to have a greater say in governance outcomes – even to the point of stopping some elements of proposed projects.
    [Show full text]
  • Azerbaijan 2021 Energy Policy Review Co-Funded by the European Union
    Co-funded by the European Union Azerbaijan 2021 Energy Policy Review Co-funded by the European Union Azerbaijan 2021 Energy Policy Review INTERNATIONAL ENERGY AGENCY The IEA examines IEA member IEA association the full spectrum countries: countries: of energy issues including oil, gas Australia Brazil and coal supply and Austria China demand, renewable Belgium India energy technologies, Canada Indonesia electricity markets, Czech Republic Morocco energy efficiency, Denmark Singapore access to energy, Estonia South Africa demand side Finland Thailand management and France much more. Through Germany its work, the IEA Greece advocates policies Hungary that will enhance Ireland the reliability, Italy affordability and Japan sustainability of Korea energy in its 30 Luxembourg member countries, Mexico 8 association Netherlands countries and New Zealand beyond. Norway Poland Portugal Slovak Republic Spain Sweden Switzerland Turkey United Kingdom United States The European Commission also participates in the work of the IEA Please note that this publication is subject to specific restrictions that limit its use and distribution. The terms and conditions are available online at www.iea.org/t&c/ Source: IEA. All rights reserved. International Energy Agency Website: www.iea.org Foreword The International Energy Agency (IEA) has been conducting in-depth peer reviews of the energy policies of its member countries – and of other countries – since 1976, and it recently modernised these reviews to focus on some of the countries’ key energy transition and security challenges. FOREWORD Azerbaijan is one of the focus countries of the EU4Energy programme, which is carried out by the IEA and the European Union along with the Energy Community Secretariat and the Energy Charter Secretariat.
    [Show full text]
  • Caspian Oil and Gas Complements Other IEA Studies of Major Supply Regions, Such As Middle East Oil and Gas and North African Oil and Gas
    3 FOREWORD The Caspian region contains some of the largest undeveloped oil and gas reserves in the world. The intense interest shown by the major international oil and gas companies testifies to its potential. Although the area is unlikely to become “another Middle East”, it could become a major oil supplier at the margin, much as the North Sea is today. As such it could help increase world energy security by diversifying global sources of supply. Development of the region’s resources still faces considerable obstacles. These include lack of export pipelines and the fact that most new pipeline proposals face routing difficulties due to security of supply considerations,transit complications and market uncertainties. There are also questions regarding ownership of resources, as well as incomplete and often contradictory investment regimes. This study is an independent review of the major issues facing oil and gas sector developments in the countries along the southern rim of the former Soviet Union that are endowed with significant petroleum resources: Azerbaijan, Kazakstan,Turkmenistan and Uzbekistan. Caspian Oil and Gas complements other IEA studies of major supply regions, such as Middle East Oil and Gas and North African Oil and Gas. It also expands on other IEA studies of the area, including Energy Policies of the Russian Federation and Energy Policies of Ukraine. The study was undertaken with the co-operation of the Energy Charter Secretariat, for which I would like to thank its Secretary General, Mr. Peter Schütterle. Robert Priddle Executive Director 5 ACKNOWLEDGEMENTS The IEA wishes to acknowledge the very helpful co-operation of the Energy Charter Secretariat, with special thanks to Marat Malataev, Temuri Japaridze, Khamidulah Shamsiev and Galina Romanova.
    [Show full text]
  • Business Update 3Rd Quarter 2018 Results
    Business Update 2018 full year results Performance (end of 2018) Production • ACG – oil (mb/d) 584 – oil (mmte) 29 • SD – gas (bcm) 11.5 – condensate (mmte) 2.5 Opex ($ million) • ACG 505 • BTC 116 • SD 578 • SCP 39 Capex ($ million) • ACG 1,150 • BTC 41 • SD 1,444 • SCP 352 2018 Highlights • Total oil production from ACG since start is about 3.5 billion barrels. ACG completed 14 oil producer wells and 3 water injectors in 2018. • In 2018, Shah Deniz celebrated 100 billion cubic metres of total gas production from the field since the start of operations. Total condensate production from Shah Deniz since start is about 25 million tonnes. • The Shah Deniz 2 and South Caucasus Pipeline Expansion (SCPX) system was officially inaugurated at the Sangachal Terminal on 29 May 2018. • Commercial gas deliveries to Turkey from the Shah Deniz 2 development project commenced as planned on 30 June 2018. • Shah Deniz Bravo first production was achieved on 30 July 2018. • 90% nationalization of BP’s professional staff in Azerbaijan was achieved in 2018. • Planning for the first wells drilling on the exploration contract areas continued. Shah Deniz 2 and SCPX Contracts to sell gas to Turkey 16bcma expansion of SCP: (6bcma) and Europe (10bcma) • new SCPX 48” loop in Azerbaijan/Georgia Two new bridge-linked platforms: • First commercial deliveries to • 2 new compressor stations and a new pressure • First production achieved on 30 Turkey commenced on 30 June reduction and metering station in Georgia July 2018 2018 • Started up on 30 June 2018 with first commercial deliveries to Turkey To European markets 26 subsea wells to be drilled and completed 1,900km TANAP pipeline (not New gas and condensate processing with two semi-submersible rigs: operated by BP) across 360km of pipelines and 125km of facilities with export gas compression at • 15 wells already drilled Turkey inaugurated in 2018 subsea flow-lines in up to 550m water Sangachal officially inaugurated on 29 • Completed 4 wells on the North Flank, 4 to receive first commercial depth.
    [Show full text]
  • The Role of Greece in Europe's Southern Gas Corridor Strategy
    Policy Paper / Κείμεμο Πολιτικής No 17 / February 2012 A Strategic Challenge: The role of Greece in Europe’s Southern Gas Corridor Strategy Dr. Thanos Dokos / Director General, ELIAMEP Dr. Theodoros Tsakiris / ELIAMEP Coordinator Geopolitics of Energy Programme 1 PP No 17 | February 2012 A Strategic Challenge: The role of Greece in Europe’s Southern Gas Corridor Strategy Thanos Dokos, Theodoros Tsakiris Copyright © 2012 Hellenic Foundation for European & Foreign Policy (ELIAMEP) 49, Vas. Sofias Ave, 106 76 Athens, Greece Tel.: +30 210 7257 110 | Fax: +30 210 7257 114 | www.eliamep.gr | [email protected] All Rights Reserved A Strategic Challenge: The role of Greece in Europe’s Southern Gas Corridor Strategy by Dr. Thanos Dokos / Director General, ELIAMEP Dr. Theodoros Tsakiris / Coordinator ELIAMEP Geopolitics of Energy Programme with the contribution of Dr. Ioannis Armakolas, “STAVROS COSTOPOULOS” Research Fellow ELIAMEP offers a forum for debate on international and European issues. Its non-partisan character supports the right to free and well documented discourse. ELIAMEP publications aim to contribute to scholarly knowledge and to provide policy relevant analyses. As such, they solely represent the views of the author(s) and not necessarily those of the Foundation. 2 Table of Contents Executive Summary .......................................................................................................................................5 Main conclusions ...........................................................................................................................................5
    [Show full text]
  • Oil and the Search for Peace in the South Caucasus: the Baku–Tbilisi–Ceyhan (BTC) Oil Pipeline
    Oil and the Search for Peace in the South Caucasus: The Baku–Tbilisi–Ceyhan (BTC) oil pipeline December 2004 Acknowledgements The following research document is a result of 18 months intensive work of International Alert’s Business & Conflict – BTC Research project team: Adam Barbolet, Davin Bremner, Phil Champain, Rachel Goldwyn, Nick Killick, Diana Klein. The team would also like to thank many other Alert staff past and present, as well as the following regional experts who significantly contributed to the project. Burcu Gultekin Ashot Khurshudyan Razi Nurullayev Zviad Shkvitaridze Arif Yunusov Staff of Himayadar- Oil Information & Resource Centre in Baku The project team is grateful to the UK government’s Global Conflict Prevention Pool (GCPP) for its generous financial support. 2 TABLE OF CONTENTS Acknowledgements........................................................................................................................ 2 Acronyms........................................................................................................................................ 5 Executive summary........................................................................................................................ 7 1. Introduction.............................................................................................................................. 24 1.1 The contribution of the oil industry to conflict prevention – emerging conflict-sensitive management systems ...............................................................................................................
    [Show full text]
  • BP in Azerbaijan Baku September 2006 Cautionary Statement
    BP in Azerbaijan Baku September 2006 Cautionary statement Forward looking statements: This presentation and the associated slides and discussion contain forward- looking statements, particularly those regarding oil and gas prices; expected start-up of Thunderhorse; the timing of other projects and their contribution to expected production, their estimated reserves and production capacity; production; the expected movement of non-proven resources to proved reserves; divestments and their effect; capital expenditure; and cash flow. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will or may occur in the future. Actual results may differ from those expressed in such statements, depending on a variety of factors, including the timing of bringing new fields on stream; future levels of industry product supply; demand and pricing; operational problems; general economic conditions; political stability and economic growth in relevant areas of the world; changes in laws and governmental regulations; exchange rate fluctuations; development and use of new technology; changes in public expectations and other changes in business conditions; the actions of competitors; natural disasters and adverse weather conditions; wars and acts of terrorism or sabotage; and other factors discussed elsewhere in this presentation. Cautionary Note to US Investors - The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms in this presentation, such as “resources” and “non-proven reserves”, that the SEC’s guidelines strictly prohibit us from including in our filings with the SEC.
    [Show full text]
  • BP in Azerbaijan Sustainability Report 2007
    BP in Azerbaijan Sustainability Report 2007 About this report The 2007 BP in Azerbaijan Sustainability Report covers our business 1 Foreword by the president of BP performance, environmental record and wider role in Azerbaijan during 2007. Azerbaijan Strategic Performance This is our fifth Sustainability Report and it reflects feedback we received about Unit (SPU) previous reports. Our earlier publications are available at www.bp.com/caspian. 2 Country context By 'sustainability' we mean the capacity to endure as a commercial organisation by 3 Achievements and challenges 4 Report concept, scope and renewing assets and by creating and delivering better products and services so that process we meet the evolving needs of society, attract successive generations of employees, 5 BP Azerbaijan SPU interests contribute to a sustainable environment and retain the trust and support of our 6 Chapter 1 – BP in Azerbaijan: customers, shareholders and the communities in which we operate. our operations 7 BP in Azerbaijan at a glance References in this report to 'us', 'we' and 'our' relate to BP in Azerbaijan unless otherwise stated. Specific ref- 10 BP in Azerbaijan in perspective erences to 'BP' and the 'BP group' mean BP p.l.c., its subsidiaries and affiliates. Unless otherwise specified, 11 Dialogue and engagement the text does not distinguish between the operations and activities of BP p.l.c. and those of its subsidiaries 14 Our projects and operations and affiliates. 20 Operating responsibly: - HSE management system - Safety A message from Ernst & Young - Environment This report has been substantiated by Ernst & Young, the BP group auditors. The - Health primary purpose of the report substantiation process is to test that the asser- 32 Security and human rights tions, claims and data set out in the text regarding BP’s sustainability perform- 34 People, compliance and ethics ance can be supported by evidence.
    [Show full text]
  • Shah Deniz Stage II Gas Field Expansion Project
    The Reality of Aid IFI OBSERVATORIO Shah Deniz Stage II Gas Field Expansion Project COUNTRY INCLUSIVE DATES OF IMPLEMENTATION STATUS Azerbaijan 2015 - 2020 Active/Ongoing The Reality of Aid IFI OBSERVATORIO Shah Deniz Stage II Gas Field Expansion Project The upstream project includes construction of 26 subsea wells, two offshore platforms, gas and condensate subsea pipelines, expansion of the Sangachal terminal, two 900 mmscfd gas compressors, and connection to the South Caucasus Pipeline. Objectives and scope of the project: (1) To increase the output of one of Azerbaijan's most important economic generators, (2) to establish Azerbaijan as peer in the regional economy in contributing to the promotion of value-added industries such as downstream processing, and (3) to generate substantial employment in Azerbaijan. The Shah Deniz Gas Field is part of the Southern Gas Corridor which is a network of pipelines that connects Central Asia and Eastern Europe gas supplies to Western Europe. These pipelines are the following: the South Caucasus Pipeline extension (SCPx): Azerbaijan-Georgia; the Trans-Anatolian Pipeline (TANAP): Turkey; and the Trans-Adriatic Pipeline (TAP): Greece-Albania-Italy. The Reality of Aid IFI OBSERVATORIO NAME OF IFI/DFI Asian Development Bank European Bank for Reconstruction and Development TOTAL COST ADB: USD 475 million EBRD: USD 500 million (cancelled disbursement in 2019) $ NATURE OF FUNDING Co-funding TYPE OF ASSISTANCE Grant PRIVATE SECTOR PARTNER/S Lukoil Overseas Shah Deniz (LOSD) CSO PARTNER/S None OTHER PARTNER/S None The Reality of Aid IFI OBSERVATORIO POSSIBLE/EXISTING IMPACTS ON COMMUNITIES/HUMAN RIGHTS According to Crude Accountability's report in 2017, the project violated FPIC procedures and environmental standards.
    [Show full text]
  • Energy and Security Cooperation in Asia Challenges and Prospects
    !"#$%&'(")'*#+,$-.&' /001#$(.-0"'-"'23-(' /4(55#"%#3'(")'6$031#+.3' !)-.#)'7&' /4$-3.014#$'8#"' 259-"'/4#:' Energy and Security Cooperation in Asia Challenges and Prospects Christopher Len Alvin Chew Editors Institute for Security and Development Policy Västra Finnbodavägen 2, 13130 Stockholm-Nacka, Sweden www.isdp.eu Energy and Security Cooperation in Asia: Challenges and Prospects is a Monograph published by the Institute for Security and Development Policy. Monographs provide comprehensive analyses of key issues presented by leading experts. The Institute is based in Stockholm, Sweden, and cooperates closely with research centers worldwide. Through its Silk Road Studies Program, the Institute runs a joint Transatlantic Research and Policy Center with the Central Asia-Caucasus Institute of Johns Hopkins Universi- ty’s School of Advanced International Studies. The Institute is firmly established as a leading research and policy center, serving a large and diverse community of analysts, scholars, policy-watchers, business leaders, and journalists. It is at the forefront of re- search on issues of conflict, security, and development. Through its applied research, publications, research cooperation, public lectures, and seminars, it functions as a focal point for academic, policy, and public discussion. This publication is kindly made possible by support from the Swedish Ministry for For- eign Affairs. The opinions and conclusions expressed are those of the author/s and do not necessarily reflect the views of the Institute for Security and Development Policy or its sponsors. © Institute for Security and Development Policy, 2009 ISBN: 978-91-85937-59-2 Printed in Singapore Cover Photo Credit: Data courtesy of Marc Imhoff of NASA GSFC and Christopher El- vidge of NOAA NGDC.
    [Show full text]
  • 5. the Baku-Tbilisi-Ceyhan Pipeline: Implications for Georgia
    5. The Baku-Tbilisi-Ceyhan Pipeline: Implications for Georgia Vladimer Papava The Baku-Tbilisi-Ceyhan (BTC) pipeline project is primary importance for Georgia, both from economic and political standpoints. From the very beginning, when the question of building the BTC pipeline was raised, Georgia had numerous obstacles to overcome of both a domestic and international nature. These included the weakness of the state, corruption, and Russia’s policy towards Georgia. Additional problems may be anticipated in the future too. However, the “Rose Revolution” that took place on 22-23 November 2003, gave rise to new challenges and opportunities for the country’s successful development.1 Against this background, the implementation of various investment projects, including that of the BTC oil pipeline, is expected to open new avenues for Georgia. This essay analyzes the current status of key economic, social and political problems associated with the construction and operation of the BTC pipeline on Georgian territory. Economic and Social Importance of the BTC Pipeline for Georgia At every historical stage of its existence, any country has to solve a set of problems related to its economic development, of which the primary and most important is the choice of strategy. Following from this, tactical steps are determined. This problem is an especially critical one for Georgia as the country is not enriched with 1 Neal Ascherson, “After the Revolution”, London Review of Books, Vol. 26, No. 5, 2004. http://lrb.veriovps.co.uk/v26/n05/asch01_.html; Zeyno Baran, Removing the Thorn in Georgia’s Rose Revolution. Georgia in US Media. Embassy of Georgia to the USA, Canada and Mexico.
    [Show full text]