Mr. Michael Sidamonidze, Head of New Energy Complexes Department

Georgian National Oil Company

“Saknavtobi”

The role of Georgia in the new gas streams to EU

Gas consumption and demand forecasts

Georgia

Baku Turkmenistan

Uzbekistan

Lebanon

AzerbaijanArmenia

Iran

Ukraine

Russia

Kazakhstan

Turkey

SyriaIraq

Cyprus

Moldova

Rumania

Bulgaria

Belarus

Kurt Kiu

Erzurum

Ceyhan

Korpezhe

Present realitiesPresent realities

In years 2015 - 2020 annual Gas Stream potential in Georgia may reach 45-50 billion m3

Strategic Gas storage – consumers Strategic Gas storage – consumers benefitsbenefits

High reliability of supply:High reliability of supply: Georgia, TurkeyGeorgia, Turkey NabuccoNabucco (Turkey, Bulgaria, Romania, (Turkey, Bulgaria, Romania, Hungary, Austria)Hungary, Austria)

Turkey-Greece-Italy interconnectorsTurkey-Greece-Italy interconnectors Commercial robustness- gas supply can not Commercial robustness- gas supply can not be turned off from day to day be turned off from day to day Gradual increase of supply capacity is Gradual increase of supply capacity is possible possible

It is obvious that the construction of the UGS It is obvious that the construction of the UGS facility together with the power complexfacility together with the power complexis feasible. The power complex includes: is feasible. The power complex includes: 1. Underground Gas Storage with the 500 1. Underground Gas Storage with the 500 mcm working volume; mcm working volume; 2. Gas turbine, linked with the Steam turbine;2. Gas turbine, linked with the Steam turbine; 3. Pipelines and compressor for CO2 injection3. Pipelines and compressor for CO2 injection 4. Oil producing field. 4. Oil producing field. 5. Oil refinery. 5. Oil refinery.

The last, together with the additional volumes from The last, together with the additional volumes from the oil field, by injecting the oil field, by injecting the CO2, could be supplied with the imported oil.the CO2, could be supplied with the imported oil. The picture below describes the power complexThe picture below describes the power complex

POWER SECURITY

CURRENT POZITION POZITION AFTER BUILDIG POWER

COMPLEX