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South Caucasus pipeline

Read more about the pipeline exporting Azerbaijani gas to the world markets

The South Caucasus Pipeline (SCP) was built to export Shah Deniz gas from Azerbaijan to Georgia and Turkey. The pipeline starts from the Sangachal terminal near Baku. It follows the route of the Baku-Tbilisi-Ceyhan (BTC) crude oil pipeline through Azerbaijan and Georgia to Turkey, where it is linked to the Turkish gas distribution system.

 

SCP was constructed jointly with BTC in order to minimise the environmental and social impact and to achieve capital and operating cost saving synergies.

 

The pipeline has been operational since late 2006 transporting gas to Azerbaijan and Georgia, and starting from July 2007 to Turkey from Shah Deniz Stage 1.

 

The length of the pipeline is 691km, with 443 km in Azerbaijan and 248 km in Georgia. The diameter is a 42-inch.

 
The SCP has been operational since late 2006, transporting Shah Deniz gas to Azerbaijan, Georgia and Turkey. The expanded section of the pipeline commenced commercial deliveries to Turkey in June 2018.

 

South Caucasus Pipeline Company (SCPC) has been responsible for the construction and operation of the whole pipeline.

 

As from 20 March 2020 technical operatorship of the South Caucasus Pipeline (SCP) has been transferred from BP Exploration (Shah Deniz) Limited to SOCAR Midstream Operations Limited, a fully-owned subsidiary of SOCAR.

 

In the first three quarters of 2021, SCP spent around $39 million in operating expenditure and around $8 million in capital expenditure in total.

 

During the three quarters of 2021, the daily average throughput of SCP was 46.8 million cubic metres of gas per day.

 

On 1 August 2021 the transition of the technical operatorship of the South Caucasus Pipeline Company (SCPC) from BP Exploration (Shah Deniz) Limited to SOCAR Midstream Operations LLC was finalized. The transition process which started in March 2020 was successfully completed in July 2021. Despite the challenges caused by COVID-19 bp and SOCAR worked in close collaboration to effectively implement all the aspects of the process.

 

The transfer of technical operatorship was carried out in fulfilment of the obligations undertook in the revised SCPC Pipeline Owners’ Agreement, signed in December 2013 as part of the Final Investment Decision on the Shah Deniz Stage 2 and South Caucasus Pipeline Expansion (SCPX) projects.

The SCP Co. shareholders are: bp (28.8 per cent), TPAO (19.0 per cent), AzSCP (10.0 per cent), SGC Midstream (6.7 per cent), PETRONAS (15.5 per cent), LUKOIL (10.0 per cent) and NICO (10.0 per cent)