Nation States Compete to Buy Georgian Gas Pipeline

Serious competition is emerging over control of the south-north gas pipeline connecting Russia and Armenia and passing through Georgia.

The Georgian government recently put this strategic asset up for sale. Different sources claim there is a 99% chance that the Azerbaijani state oil company SOCAR will purchase the asset; the possibility of which has alarmed Armenia.

Another scenario is that it will be bought by Russia's Gazprom – this has causes concern for the Georgians, as well as the Azeris.

There is also a third possible player – Kazakhstan's Kazmunaigaz, although some think that this may be an attempt by the Kazakhstanis to protect Russian interests.

The Turkish newspaper Hurriyet reports that the issue was decided between the heads of states during the recent visit of President Ilham Aliyev to his counterpart Mikheil Saakashvili.

As the gas pipeline is not a profitable venture from economic point, the newpapers believes that Aliyev's interest is straightforward, wanting to keep the oil pipeline under Azeri control.

David Shahnazarian, representative of the opposition national congress of Armenia airing the concern of Armenian side, stated that the Azeris' intention to buy this pipeline does not follow any economic interest but is purely politically motivated.

According to Shahnazarian, Azeri interest in the pipeline is motivated by the intention to further deepen the energy blockade of Armenia. Geopolitical concerns also extend to the tenuous situation between the two nations in respect to Karabakh. Under these circumstances, Shahnazarian insists that Armenia's government is obliged to take every possible measure to purchase the pipeline.

Meanwhile Georgia thinks that selling this installation is not against its strategic interest and greedily anticipates big money coming into the coffers.

Source: Ordons.com