Georgian Authorities Meet 18 Companies for Feasibility Study of First UGS Facility

Georgia moved a step closer toward building a brand new Underground Gas Storage facility, holding a pre-proposal meeting with 18 companies from Europe, Turkey and China.

The country, which is the only in the region without UGS facilities, expects to store 230-250 million cubic meters of natural gas, which would account for 15% of its annual consumption. 

‘Preparation of the feasibility study for the Gas Storage will be completed by the end of 2015. Simultaneously, Georgian Oil and Gas Corporation (GOGC) will study the conditions necessary for financing the project. In this regard, discussions with commercial banks, international financial institutions and private companies are underway’ reads a note released by GOGC on Friday. 

According to a recent result presented by the Georgian company, the Middle Eocene of Samgori South Dome is the most suited horizon for the construction. 

The international open tender for the preparation of the feasibility study was announced on January 14. The deadline is on February 26. The construction activities should start in 2016.

‘Placement of Eurobonds is considered as one of the means of financing the project’ explained the company.