TAP, Shah Deniz Consortium Select Societe Generale as Financial Advisor

The Trans Adriatic Pipeline (TAP), and members of the Shah Deniz Consortium have selected Société Générale Corporate & Investment Banking to provide financial guidance to the project during its preparatory and construction phases. The decision was made by TAP, its shareholders Axpo, Statoil and E.ON Ruhrgas, and Shah Deniz Consortium members SOCAR, BP and Total as potential investors in TAP.

Société Générale Corporate & Investment Banking was named Oil & Gas Financial Adviser of the Year for 2010 and 2012 by Infrastructure Journal, and is a leading adviser to cross border pipelines, most recently the Nord Stream EUR 7.4bln project.

Société Générale will initially assist TAP’s management team with structuring the pipeline’s project finance strategy, carrying out a bankability review and formulating a credible and deliverable funding plan.

Following the Shah Deniz Consortium’s selection of its preferred pipeline to Europe and TAP’s shareholders’ ‘Resolution to Construct’, expected in September 2013, Société Générale will support TAP in the implementation of the plan and the raising of any required capital.

In the wake of the recent completion of an Intergovernmental Agreement on TAP by the Governments of Greece, Albania and Italy, today’s announcement demonstrates TAP’s readiness to transport Caspian gas to Western markets. The pipeline has been designed to synchronise with the Shah Deniz Consortium’s delivery timetable and will be ready when the gas comes on stream.

Kjetil Tungland, Managing Director of TAP, commented: “I am pleased that TAP, its shareholders and members of the Shah Deniz Consortium, have worked together and come to a final decision in selecting a financial advisor. Today’s nomination is another step in making the Trans Adriatic Pipeline a reality. TAP’s financial strength is well-known – our offer remains the most strategic and compelling commercially, not least because we are the only pipeline that does not require public funds.”

“As we approach the next stage in TAP’s development, Société Générale will support us in structuring financing for the project, enabling us to deliver the highest value to our customers and investors. We’re delighted to be working with an organisation of their pedigree and expertise. This appointment is further validation of the strength of our proposal.”

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LNG World News Staff, March 19, 2013