TEKMOR Note: The full Speech by Alexey Miller at conference call on occasion of New Year’s Eve can be found at the link below.
We intend to proceed with this work in 2017, which means that a new powerful gas transmission corridor will emerge on Russia's gas map. It will largely reshape gas flows as regards Russian consumers and international markets. Among other things, by expanding the northern corridor and gradually constructing new facilities in the northwestern part of the Unified Gas Supply System, we are building up capacities for gas deliveries via the offshore Nord Stream 2 gas pipeline.
The Nord Stream 2 project is running strictly on schedule. The gas pipeline will be brought online in late 2019. I am absolutely convinced that we will put onstream new gas export capacities in a timely manner and in full. The amount of gas to be supplied across the Baltic Sea via Nord Stream and Nord Stream 2 will total 110 billion cubic meters per year.
According to the data obtained this morning, the Nord Stream capacities are loaded by even more than 100 per cent. We supply upward of 150 million cubic meters of gas daily via that gas pipeline. The growing consumption in our key partner countries is yet another proof of the fact that the Nord Stream 2 project is extremely important to the European market.
In 2016, we completed all main tendering procedures for Nord Stream 2. We conducted a tender for pipe supplies, signing 60 per cent of our pipe supply contracts with Russian manufacturers. We also selected a contractor for pipe-laying. The job was awarded to Allseas. That company is now authorized to construct the pipeline's first string with an option to build the second string as well.
We also continued working on another major gas export project, TurkStream (Turkish Stream). All the necessary approvals and permits were obtained and we will start pipe-laying in the Black Sea in the second half of 2017.
It should be noted that this year we completed the construction of Russia-based transmission capacities for the supply of 31.5 billion cubic meters of gas into the TurkStream gas pipeline. That includes the linear part and compressor stations. Our operating results in 2016 indicate that the Russian party is fully ready to start delivering gas via TurkStream.
