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From: Justin Burke (JBurke@sorosny.org)
Date: Mon Feb 28 2000 - 12:41:32 EST


TIME NEEDED TO RESOLVE TRANS-CASPIAN DIFFERENCES - GEORGIA

     TBILISI. Feb 28 (Interfax) - Georgian President Eduard Shevardnadze
has said time is needed to resolve differences concerning the planned
Trans-Caspian gas pipeline.
     Much has changed since the presidents of Turkmenistan, Turkey,
Azerbaijan and Georgia signed the project agreement in Istanbul last
year, Shevardnadze said. The discovery of large natural gas reserves in
Azerbaijan has prompted Baku to seek access to capacity on the pipeline,
which will run from Turkmenistan across the Caspian Sea and on through
Azerbaijan and Georgia to Turkey.
     "There is a definite difference of opinion here, but it is not of a
kind that would put the implementation of the project in doubt," he
said.
     Turkey's position is critical, he said, since it will ultimately
decide if it wants to import Turkmen gas.
     Regardless of the outcome, Georgia will remain a transit country,
he said.
     Last Thursday, Turkmen President Saparmurad Niyazov said he
disagreed with an U.S. proposal that Azerbaijan receive 50% of the
pipeline's capacity.
     "Turkmenistan will never agree to that," Niyazov said. At the same
time, he extended until March 20 the American PSG's authorization as
project operator in order to draw up new project options. PSG's
authorization was scheduled to expire on February 19.


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