Natural Gas

Diversified import and balanced management of gas flows create foundation for successful activities and sustainable development of the Company.

Gas Production

Share of natural gas in total supply of energy resources is about 40%. Gas is the most widely consumable primary energy resource in Georgia.

Natural gas sector is one of the most dynamically developing segments of the country. Local gas production is rather low (less than 0.5% of total annual consumption), therefore, demand of Georgia on natural gas is mainly balanced by import. Today, gas import is provided from two foreign sources on the basis of several independent contracts. West Gulf Petroleum carries out natural gas import on the basis of agreements made between the parties followed by wholesale supply of natural gas to distribution companies. The distribution companies, from their part, supply natural gas to the so-called social sector and commercial consumers.

Gas Transportation

Transit of gas in Georgia is provided by two gas pipelines – the South Caucasus Pipeline (SCP) and the North-South Main Gas Pipeline (NSMP).

The South Caucasus Pipeline also known as Baku-Tbilisi-Erzerum Gas Pipeline transits gas produced from Shah Deniz field from Azerbaijan to Turkey. The pipeline length is 692 km, the length of the Georgian section is 249 km. The design throughput of the pipeline is 20 billion cubic meters per year. SCP mainly lies parallel to BTC pipeline.

The North-South Main Gas Pipeline (NSMP) transits Russian gas to Armenia. The length of the Georgian section of NSMP is 234 km and its design throughput is 12 billion cubic meters per year.

The natural gas transportation system in Georgia is operated by Georgian Gas Transportation Company LLC (GGTC) which is the state-owned enterprise and the natural gas transportation licensee. GGTC obtained the respective license in 2009 and has been transporting gas through the territory of Georgia from the above period.

The natural gas transport infrastructure registered on the balance of West Gulf Petroleum is transferred to GGTC within the Lease Agreement signed between West Gulf Petroluem and the latter.