Siemens Could Supply Compressors for TAPI Gas Pipeline

German firm Siemens is reportedly in the pole position to supply compressors for the TAPI gas pipeline project.

According to Pakistani newspaper Express Tribune, Turkmenistan is in discussion with the German company and the price offered is good.

Earlier talks were on with few US companies including General Electric. However, price quoted were on the higher side, the newspaper quoted an official as saying.

Earlier this month, Government of Turkmenistan allocated more than $45 million to finance the initial phase of construction of the TAPI gas pipeline at the Afghan-Pakistan segment. The $45 million allocated by Ashgabat is in accordance with an investment agreement signed by TAPI countries earlier this year. In April, Turkmenistan, Afghanistan, Pakistan and India (TAPI) agreed to invest $200 million in the next stage of the multibillion dollar TAPI pipeline project.

The TAPI pipeline will export up to 33 billion cubic meters of natural gas a year from Turkmenistan to Afghanistan, Pakistan, and India over 30 years. 

In recent weeks, Turkemnistan has held talks regarding financing of the project with international agencies such as Islamic Development bank, the Saudi Fund for Development and the Japanese government. These international entities are expected to participate in areas of trade, supply equipment, financing through provision of loans and investment in the TAPI project and in development of the Galkynysh gas field.