Iran Open to Buying Stake in TANAP

Iranian ambassador to Azerbaijan on Wednesday said that the country may join the Trans Anatolian Pipeline (TANAP), news agency Reuters reported.

"We're looking into the possibility of buying equity in TANAP," Mohsen Pakayin told reporters. "We may buy equity in the pipeline, if we reach our production targets by 2018."

The pipeline, which will carry Azeri gas to European markets, is seen as Europe's alternative to its reliance on Russia.

As per the plan TANAP would initially carry 16 billion cubic meters (bcm) of gas a year by mid-2018. By 2023, TANAP's capacity will rise to 23 bcm per year and then to 31 bcm by 2026. The gas will be sourced from Azerbaijan's Shah Deniz II field in the Caspian Sea, which is being developed by a BP led consortium.

The TANAP will be operated by SOCAR, which currently holds 58 percent stake in the project. Turkey's pipeline operator BOTAŞ own 30 percent, while BP acquired 12 percent in the project on March 13, 2015.