ESIA Amendment Section 2 - Description of licensed project

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Table of Contents

2 Description of Approved Project 3 2.1 TAP Project Overview 3 2.1.1 Project Rationale 3 2.1.2 Brief Technical Description 3 2.1.3 TAP System Throughput 4 2.1.4 Project Schedule 4 2.1.5 TAP Design Philosophy 5 2.1.6 Applicable Codes and Standards 5 2.2 Main Project Components in Greece 6 2.2.1 Pipeline 6 2.2.2 Block-Valve Stations (BVS) 7 2.2.3 Compressor Stations (CS) 7 2.2.3.1 Configuration 7 2.2.3.2 Layout and design 8 2.2.4 Temporary Facilities 8 2.2.4.1 Storage and Pipe Yards 8 2.2.4.2 Construction Camps 10 2.3 Project Progress since Permitting 11

List of Tables

Table2TU 2-1 U2T Summary2TU of Installed Capacity at Compressor Stations – Approved Project

Design U2T 8

Table2TU 2-2 U2T Location,2TU Area and Capacity of the Main Pipe Yards - Approved Project

Design U2T 9

Table2TU 2-3 U2T Sites2TU Suitable for Camps - Approved Project Design U2T 10

List of Figures

Figure2TU 2-1 U2T Southern2TU Gas Corridor U2T 3

Figure2TU 2-2 U2T TAP2TU Route in Greece U2T 4

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2 Description0B of Approved Project

2.1 TAP1B Project Overview

2.1.1 Project4B Rationale

The purpose of the TAP Project is to bring gas from new sources in the Caspian Sea to Europe through the so called Southern Gas Corridor.

TAP Project will contribute to the security and diversity of Europe’s energy supply by providing the necessary infrastructure to transport gas from the Shah Deniz II field in Azerbaijan by the most direct route, via the pipeline system, to Southern Europe. As part of this plan TAP will be the first pipeline to open the Southern Gas Corridor.

Figure 2-1 Southern Gas Corridor

Source: TAP AG Corporate presentation (Oct. ‘14)

2.1.2 Brief5B Technical Description

The pipeline system in Greece, as described in the ESIA, comprises of the following main installations:

• An approximately 543 km long underground pipeline (48 inch) from the Greek/Turkish border to the Greek/ Albanian border;

• Two Compressor Stations – one at Kipoi, Evros (including metering facilities) for the initial throughput of 10 bcm/year, and potentially another one close to Serres for the final capacity of 20 bcm/year;

• 22 BVS (Block Valve Stations) spaced at approx. 30 km along the pipeline; and

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• Associated facilities required during construction (access roads, construction camps, pipe yards, etc.).

Figure 2-2 TAP Route in Greece

Source: TAP AG Corporate presentation (Oct. ‘14)

The advances of the technical design of the Project and the consideration of the requests of various stakeholders during the ESIA public disclosure process have resulted in a number of changes to the pipeline system. It should be noted that such changes are rather limited taking into account the scale of the Project. Indeed, the number and type of installations have not changed. However, a number of rerouting proposals were integrated to the pipeline route while the location and design of some of the permanent and temporary installations was modified. These changes are described in detail in further sections of this ESIA Amendment study.

2.1.3 TAP6B System Throughput

Pipeline transportation capacity may be increased from an initial throughput of 10 bcm/year (maximum about 1,350,000 standard cubic meters per hour; average about 1,190,000 standard cubic meters per hour) to 20 bcm/year of natural gas.

The present ESIA Amendment does not introduce any changes to the TAP System Throughput as this was described in the ESIA for the TAP Project.

2.1.4 Project7B Schedule

At the time of ESIA submission, the overall construction of the Greek section of the Project was anticipated to commence in mid-2015 and take approximately 3.5 years, followed by commissioning in early 2019. The current planning of the Project suggests that the commencement of project construction will take place in mid-2016, while first gas flow is expected in the beginning of 2020.

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2.1.5 TAP8B Design Philosophy

The TAP facilities (e.g. compressors and gas turbines) will be designed for a lifetime of 25 years. The pipeline itself is designed for a technical life time of 50 years. The design philosophy is to ensure that the gas transportation system fulfils all safety requirements of the base National and European Codes and Standards and that the impact to the environment is kept to a minimum.

The pipeline and stations will be designed in accordance with requirements resulting from:

• National and local regulations;

• Safety of the people living close to the pipeline and of personnel working near the pipeline;

• Protection of the environment;

• Protection of property and facilities;

• Geotechnical, corrosivity and hydrographical conditions;

• Requirements for construction, operation and maintenance;

• Third party activities.

The pipeline will have a design pressure of 95 barg (bars above atmospheric pressure), which will be sufficient for the TAP capacity base case of 10 bcm/year as well as for the potential future extension of the TAP System capacity to 20 bcm/year.

The present ESIA Amendment does not introduce any changes to the TAP Design Philosophy as this was described in the ESIA for the TAP project.

2.1.6 Applicable9B Codes and Standards

All Project facilities will be designed in accordance with the European Codes (EN) and National Standards. The EU and National standards must be followed and other standards will be used to supplement these where it is beneficial to do so.

For the TAP in Greece the main codes to be used are shown in Box 2-1.

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Box 2-1: Main Pipeline Design Codes

• No Δ3/A/οικ. 4303 ΠΕ 26010 5/3/2012 “Technical Regulation: Natural Gas supply systems — Pipelines for maximum operating pressure over 16 bar”, as amended by No. Δ3/Α/8857 20/0/2012.

• EN1594:2009 “Gas supply systems — Pipelines for maximum operating pressure over 16 bar — Functional requirements”

A large number of other codes and standards will be applied for the design of project subsystems or individual project elements. These are presented in detail in Section 4.1.8 (GPL00-ASP-642-Y- TAE-0052) of the ESIA for the TAP Project. The present ESIA Amendment does not introduce any changes to the applicable codes and standards.

2.2 Main2B Project Components in Greece

2.2.1 Pipeline10B

The cross-country pipeline from the Greek/Turkish border to the Greek/Albanian border is approximately 543 km in length and has a diameter of 48’’. The design pressure of the main pipeline is 95 barg. The pipeline will be fully buried. The minimum cover depth for the pipeline is 1 m in normal sections, but this can be increased if necessary where additional protection is required. For example at road and railway crossings, the minimum cover depth is increased to 1.2 m and 1.5 m respectively.

The pipeline route, as presented in the ESIA for the TAP project, is shown in Annex 2.1: Overview map of Approved TAP Project and components in Greece.

The width of the regular construction working strip for the TAP Project is 38 m, and can be reduced to 28 m where physical constraints require. For construction in elevated areas the width will potentially be further reduced to a minimum 18 m corridor. Typical cross-sections of a regular working strip and a reduced working strip were presented in Annex 3.6 (GPL00-ASP-642-Y-TAE- 0052_at07) of the ESIA for the TAP Project.

All the above technical information relevant to the pipeline remains as presented in the ESIA for the TAP Project. The only changes are associated with a number of rerouting proposals, i.e. modifications / optimisations to the pipeline route, which are presented in detail in Section 3. Because of these changes, the total length of the pipeline will be approx. 548 km.

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2.2.2 Block11B -Valve Stations (BVS)

According to the information provided in the ESIA for the TAP project, 22 BVS would be installed along the TAP pipeline in Greece, at maximum intervals of approximately 30 km. Their locations are shown in Annex 2.1: Overview map of Approved TAP Project and components in Greece (GPL00-EXG-642-Y-TAE-1003_at03). These locations were provisional, as the final design, depending on pipeline Risk Assessment, accessibility, national and international standards and an agreed operation and maintenance concept, will be performed at a later project stage.

The design of the block valve stations, as presented in the ESIA for the TAP project, is shown in Annex 2.2: Technical Drawings - Layouts and Flow Diagrams of Approved TAP Project (GPL00- EXG-642-Y-TAE-1003_at04). According to this design, block valve stations are unmanned and contain a small cabinet with a fence around them to prevent unauthorised access. Additional to the fenced area of approximately 12 x 33 m, a 3 m wide vegetation strip will be planted and an access road installed to provide permanent access during operation.

The current stage of the TAP project design maintains the same number of BVS along the pipeline route (i.e. 22 BVS) while an additional one will be installed in the place of installation of the Compressor Station in the area of Serres. It is reminded that this BVS will be upgraded to a Compressor Station when the TAP System Throughput increases to 20 bcm/year from the initial 10 bcm/year. The locations of the BVS as per the current stage of design are shown in Annex 4.1: Overview map of TAP Project modification in Greece (GPL00-EXG-642-Y-TAE-1004_at03). However, it is noted that the final locations of the BVS will be the result of the final Project design which will be performed at later project stage.

The current stage of design has also revealed some additional information for the design of the 2 BVS. They will comprise small buildings with total building surface of 33 mP .P Details on the BVS are provided in Section 3 of this document.

2.2.3 Compressor12B Stations (CS)

2.2.3.1 Configuration14B

The pipeline’s initial transportation capacity is characterised by a throughput of 10 bcm/year and will potentially be increased to 20 bcm/year.

According to the information provided in the ESIA for the TAP Project, for the initial capacity of 10 bcm, one compressor station in the broader area of Kipoi (GCS00) is foreseen of approximately

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30-45 MW (2 operating and 1 spare compressors of 15 MW, each). For the 20 bcm case the compressor station GCS00 needs to be developed to 75-90 MW by installation of three additional compressors (15 MW, each) with associated facilities (total capacity 5 operating and 1 spare compressors, 15 MW each). Furthermore one additional compressor station located in the vicinity of Serres (GCS01) with a compressor power of approximately 100 – 125 MW (4 operating and 1 spare compressors of 25 MW, each) is foreseen in the 20 bcm case. The indicated MW-figures are related to ISO class. The actual figures may deviate slightly.

In summary, the configuration of the compressor stations, as presented in the ESIA for the TAP pipeline project, is given in the Table below.

Table 2-1 Summary of Installed Capacity at Compressor Stations – Approved Project Design

Pipeline Capacity GCS00, GCS01

GCS00 (Kipoi) 30-45 MW (2 operating and 1 spare of 15 MW each) , in the 10 bcm/year broader area of the existing DESFA compressor station at Kipoi GCS00 (Kipoi): approx. 75-90 MW (5 operating and 1 spare of 15 MW each) 20 bcm/year GCS01 (Serres): approx. 100 - 125 MW (4 operating and 1 spare of 25 MW each), in the broader area south of Serres Source: ETG 2012

2.2.3.2 Layout15B and design

As presented in the ESIA for the TAP Project, TAP has defined an area of 36 ha for the investigation of each of the CS sites, within which the CS will be positioned during the final engineering phase. The compressor station facilities GCS00 and GCS01 require a surface of 16.7 ha and 16.3 ha correspondingly. This area will be fenced. Within this surface, about 10 ha will be hosting installations, buildings or roads. In each compressor station, a scraper station will be installed.

2.2.4 Temporary13B Facilities

2.2.4.1 Storage16B and Pipe Yards

According to the ESIA for the TAP project, all key material for project construction such as pipes, components of the compressor stations and special construction equipment would be shipped to the port of , Kavala and Alexandroupolis.

There would be an intermediate storage yard close to the main port at Thessaloniki ,Kavala and Alexandroupolis which would have sufficient pipe storage capacity to provide buffer storage in case of construction delays. Pipes would be distributed from the intermediate storage yard to the

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17 pipe yards distributed along the route at the locations described in the Table below. The location of the pipe yards is shown in Annex 2.1: Overview map of Approved TAP Project and components in Greece (GPL00-EXG-642-Y-TAE-1003_at03).

Table 2-2 Location, Area and Capacity of the Main Pipe Yards - Approved Project Design

Yard Location Supply Section length Pipe Yard Area Pipe Yard Capacity

1 Kavissos 30 km 30,000 m² 2,100 pipes 2 Alexandroupolis port 20 km 20,000 m² 1,400 pipes 3 Arsakeio 39 km 39,000m² 2,800 pipes 4 Mesochori 24 km 24,000m² 1,500 pipes 5 Vafeika 27 km 27,000m² 1,700 pipes 6 Kavala port 54 km 60,000m² 4,400 pipes 7 Agios Christoforos 45 km 45,000m² 3,200 pipes 8 Gazoros 32 km 32,000m² 2,300 pipes 9 Ano Kamila 23 km 23,000m² 1,500 pipes 10 Lachanas 16.5 km 16,000m² 1,400 pipes 11 Krithia 33.5 km 34,000m² 2,400 pipes 12 Gefyra 40 km 40,000m² 2,700 pipes 13 Agios Loukas 40 km 40,000m² 2,600 pipes 14 Pirgi 40 km 40,000m² 3,000 pipes 15 Galateia 30 km 28,000m² 2,100 pipes 16 Korisos 23 km 24,000m² 1,700 pipes 17 Mesopotamia 26 km 27,000m² 1,900 pipes Source: ETG (2013)

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The current stage of design has introduced a number of changes to the logistics concept described in the ESIA. All key material for Project construction such as pipes, components of the compressor stations and special construction equipment will be shipped to the port of Thessaloniki or Kavala. The location of the pipe yards has also been modified. Details on these changes will be presented in Section 3. The locations of the pipe yards as per the current stage of design are shown in Annex 4.1: Overview map of TAP Project modification in Greece.

The use pattern for the pipe yards has remained the same as described in the ESIA for the TAP Project. All pipe yards will be fenced, lighted and guarded. All installations are of temporary character and will be removed completely (including foundations) after the construction period. The entire area will be vegetated after demobilisation of infrastructure.

2.2.4.2 Construction17B Camps

According to the ESIA for the TAP project, there would be 8 main construction camps along the route. Nevertheless, the Contractor will have the opportunity to optimize his working concept and operate additional camps if required.

The camps will be temporary, self-contained. They will have their own water and electrical supply as well as facilities for wastewater and garbage treatment. Camp staff will provide housekeeping, meal services and medical services. Fresh water will be provided from existing water supplies if available or alternatively from springs in the camp’s surroundings. All wastewater will be treated according to national requirements prior to dewatering in a river or leaching.

The sites proposed as suitable for camps in the ESIA are described in the following Table along with their approximate capacities.

Table 2-3 Sites Suitable for Camps - Approved Project Design

Camp Location Relevant Section Area approx. Staff approx.

2 1 Amfitriti-Alexandroupolis 0-65 km 50,000 mP 150-200 2 2 - Itea 65-140 km 50,000 mP 150-200 2 3 Chalkero 140-224 km 50,000 mP 150-200 2 4 Toumpa 224-294 km 50,000 mP 150-200 2 5 Krithia 294-359 km 50,000 mP 150-200 2 6 Paralimni 359-424 km 50,000 mP 150-200 2 7 Maniaki 424-490 km 50,000 mP 150-200 2 8 Ampelokipi 490-543 km 50,000 mP 150-200 Source: GPL00-ΕΝΤ-100-F-TLX-0005_Rev.:0A – Greece Camps and Pipe Yards (17-04-2013)

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These locations do not include the camps for the compressor stations, which will be built by a separate contractor, hence they will be independent from the camps of the pipe laying contractor. Neither do they include temporary small camps for construction works at special points (e.g. larger river crossings and BVSs). The teams of these small camps will not stay there overnight but be based in nearby hotels or main camps.

As described in the ESIA for the TAP Project, all construction camps will be fenced, lighted and guarded. All the construction camps are of temporary character and will be removed completely (including foundations) after the construction period. The entire area will be vegetated after demobilisation of infrastructure.

The current stage of design has introduced some changes to the location of the camp sites along the pipeline route. Details on these changes will be presented in Section 3. The locations of the construction camps as per the current stage of design are shown in Annex 4.1: Overview map of TAP Project modification in Greece.

2.3 Project3B Progress since Permitting

The submission of the ESIA for the TAP project took place in June 2013 and was supplemented with an Annex Report in early September 2014. The Decision on Approval of Environmental th Terms for the TAP project was issued in September 12P P 2014. The engineering design for the TAP Project is still progressing while tendering processes have been launched. No works for any of its components have been undertaken.

In parallel the following steps have been completed:

th • In December 10P P 2013, the Host Government Agreement was ratified by the Greek Parliament.

• In July 2014, TAP was granted by the Regulatory Authority for Energy (RAE) with a Permit of an Independent Natural Gas System (INGS).

Trans Adriatic Pipeline AG-Greece (Branch Office)

21st floor, Tower, 2-4 Mesogion Ave.

11527 Athens, Greece

Phone: +30 210 745613

Fax: +30 210 745300

[email protected]

www.tap-ag.com

Date 12/2014

Copyright Reserved: This document may not be copied, shown to or placed at disposal of third parties without prior consent of TAP AG. The latest version of the document is registered in the TAP Project’s Database.