Persian Pipeline
Encyclopedia
Persian Pipeline is a proposed natural gas
Natural gas
Natural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...

 pipeline to transfer Iranian gas from the Persian gulf
Persian Gulf
The Persian Gulf, in Southwest Asia, is an extension of the Indian Ocean located between Iran and the Arabian Peninsula.The Persian Gulf was the focus of the 1980–1988 Iran-Iraq War, in which each side attacked the other's oil tankers...

 to European markets.

Route

This planned pipeline will connect Iran's South Pars gas field
South Pars / North Dome Gas-Condensate field
The South Pars / North Dome field is a natural gas condensate field located in the Persian Gulf. It is the world's largest gas field, shared between Iran and Qatar...

 with Turkey and then with European markets. It would consist of two principal sections:
  • Iranian section, also is called Iran Gas Trunkline
    Iran Gas Trunkline
    Iran Gas Trunkline is the series of large diameter pipelines constructed from gas producing areas in the south of Iran in order to transfer natural gas to the consumption centres in northern part of the country....

     9 or IGAT-9, starting in Assaluyeh will transport gas from South Pars gas field to the city of Bazargan
    Bazargan, Iran
    Bazargan is a city in the Central District of Maku County, West Azerbaijan Province, Iran. It is the most important Iranian ground border for importing and exporting. At the 2006 census, its population was 9,047, in 2,126 families....

     at the border with Turkey.
  • The European section, which will cross Turkey, passing on to Greece and Italy. In Italy the pipeline would be split:the northern branch will run to Switzerland, Austria and Germany, while southern branch will supply France and Spain. It is not clear if the Trans-Adriatic Pipeline
    Trans-Adriatic Pipeline
    Trans Adriatic Pipeline is a proposed pipeline project to transport natural gas from Greece via Albania and the Adriatic Sea to Italy and further to Western Europe.-History:...

    , foreseen for Iran gas export to Europe, would be part of this project or not.

Technical description

The overall length of the pipeline would be 3300 kilometres (2,050.5 mi) and the capacity would be 37–40 billion cubic meters of natural gas per year. The cost of Iranian section is estimated to be around $7 billion. This section will be 1800 kilometres (1,118.5 mi) long and it would consist of 17 compressor stations. Each compressor station would have 4 turbo compressors. The cost of each station is expected to be around $100 million.

The Turkish section will be 660 kilometres (410.1 mi) long and cost about one billion euro. The pipeline would cross the difficult geographic environments, notably mountainous areas. It is expected to be operational by 2014.

Ownership

The pipeline is proposed as a Build-Own-Operate project. According to the National Iranian Gas Export Company (NIGEC) two Iranian and two foreign companies were bidding for the contract awarded to one Iranian company or consortium and one foreign company. It is possible that Iran and Turkey will set up a joint company for the building of a pipeline in Iran to the Turkish border, and another joint company on the construction of a gas pipeline in Turkey from Iran's border to the Greek border. It is also alleged that Iran is relying on financial involvement from China. China is reportedly to consider $42.8 billion dollars for investment in Iranian refineries and pipelines.

Iranian Oil Minister Masoud Mir Kazemi
Masoud Mir Kazemi
Masoud Mir Kazemi is an Iranian politician who was Minister of Petroleum from 2009 to 2011, replacing Gholamhossein Nozari after President Mahmoud Ahmadinejad was re-elected. Kazemi had previously headed Shahed University and headed Iran's Ministry of Commerce...

 confirmed in July 2010 that NIGEC and Turkey's Som Petrol signed a contract to build a pipeline that will cross Turkey.

Alternative projects

The Persian pipeline is seen as an alternative to the Nabucco pipeline
Nabucco Pipeline
The Nabucco pipeline is a proposed natural gas pipeline from Erzurum in Turkey to Baumgarten an der March in Austria diversifying natural gas suppliers and delivery routes for Europe. The pipeline attempts to lessen European dependence on Russian energy...

.
Although Iran was willing to be a part of the Nabucco project, the Iranian government reconsidered its options and decided to focus on Persian pipeline. According to Hossein Zoulanvar, a member of Majlis
Majlis of Iran
The National Consultative Assembly of Iran , also called The Iranian Parliament or People's House, is the national legislative body of Iran...

 Energy Commission of Iran, the reasoning to construct and use Persian pipeline for exports to Europe instead comes from US pressures on European countries to impose sanctions on Iranian gas sector. It is noteworthy that Russia which had been trying to block Nabucco project from realization has been trying to re-route Azerbaijan
Azerbaijan
Azerbaijan , officially the Republic of Azerbaijan is the largest country in the Caucasus region of Eurasia. Located at the crossroads of Western Asia and Eastern Europe, it is bounded by the Caspian Sea to the east, Russia to the north, Georgia to the northwest, Armenia to the west, and Iran to...

i gas exports planned for initial phase of the project through other possible pipelines such as Mozdok – Makhachkala – Kazi Magomed pipeline
Mozdok – Makhachkala – Kazi Magomed pipeline
The Mozdok–Makhachkala–Kazi Magomed pipeline is a natural gas pipeline from Mozdok in North Ossetia through Chechnya and Dagestan to Azerbaijan. The Azerbaijani section is also known as the Kazi Magomed–Novo Filya or Baku–Novo Filya, and it connects Baku with the Novo Filya gas metering utility on...

. Although many argue that Persian pipeline may seem as an alternative to Nabucco, hence rival to South Stream
South Stream
South Stream is a proposed gas pipeline to transport Russian natural gas to the Black Sea to Bulgaria and further to Greece, Italy and Austria. The project is seen as rival to the planned Nabucco pipeline...

project, Russia denounces the allegations and backs the Iranian initiative of building Persian pipeline.
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