Reuters: U.S. shale gas no threat to Azerbaijan's export plans-minister

Azerbaijan sees little threat to its natural gas export plans from abundant U.S. shale gas because the Azeris have locked in long-term contracts and transport and other costs will drive up the price of the U.S. product.

Azerbaijan is preparing to supply Europe with 10 billion cubic metres (bcm) of gas each year and Turkey with 6 bcm from 2019 from its vast Shah Deniz gasfield in the Caspian Sea, which holds estimated reserves of 1.2 trillion cubic metres.

In the United States, fracking has driven down gas prices, which are about a third of those in the European Union.

But Azeri energy minister Natiq Aliyev said that U.S. exports may not be as cheap once the additional costs of liquefying, transporting and re-gasifying are included.
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