Kyrgyzstan Bids for Stake in China Gas Pipeline

Kyrgyzstan Bids for Stake in China Gas Pipeline

Tuesday, 17 July, 2007
Kyrgyzstan is calling for a proposed gas pipeline that will supply China with Uzbek and Turkmen energy to go through its territory - but while NBCentralAsia experts say Kyrgyz authorities is unlikely to politically exploit its position as a transit country, its mountainous terrain makes its inclusion in the project an expensive option.



Kyrgyz prime minister Almazbek Atambaev met Chinese foreign minister Yang Jiechi on July 9 to express his interest in having the proposed new gas pipeline from Central Asia to China run through Kyrgyzstan.



The Asian Development Bank, ADB, has promised to give financial backing to the 30 billion cubic metre capacity gas pipeline supplying Turkmen and Uzbek energy to China if Kyrgyzstan takes part.



China has already signed a preliminary agreement with Uzbekistan and Kazakstan to begin construction next year and Turkmen president Gurbanguly Berdymuhammedov is traveling to Beijing on July 17 to discuss the project.



NBCentralAsia observers say that there are several advantages to laying the pipeline though Kyrgyzstan, including existing basic infrastructure, gaining financial backing from the ADB, as well as the widely held belief that Kyrgyzstan would not seek to gain political advantage.



Salamat Aitikeev, director general of the open stock company Kyrgyzsgas, is confident that the link between Uzbekistan with Kazakstan will go through Kyrgyzstan. It makes geographical sense and Kyrgyzstan has the infrastructure to cope, he says.



The ADB is poised to back Kyrgyzstan, displaying the level of trust it has in the country and offering an added incentive for bringing the country in on this project, says Sergey Slepchenko, an expert from the Perspektiva think tank.



But energy expert Bazarbai Mambetov argues that although there are some advantages to Kyrgyzstan’s involvement, the country’s mountainous terrain in the south of the country means that laying the pipeline there would be a more expensive option.



“The territory of Kyrgyzstan will not be attractive for constructing the gas pipeline due to its natural relief. China will find another, flatter route to supply Turkmen gas to China,” he said.



(News Briefing Central Asia draws comment and analysis from a broad range of political observers across the region.)

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