Award of contract for TAP pipeline

In a joint venture with Italy’s Bonatti SpA, J&P-AVAX signed a contract with Trans Adriatic Pipeline AG (TAP) for the the engineering, procurement and construction (EPC) of approximately 360km of onshore pipeline across northern Greece.

TAP’s onshore section will start from the Greek-Turkish border, run for approximately 550 km on Greek territory and a further 215 km on Albanian territory to the city of Fier. The offshore pipeline section starts from the Albanian coast, cross the Adriatic Sea on a 105 km stretch and will be connected to Italy’s national gas network following a 8 km onshore route.

TAP is the European leg of the so-called “Southern Gas Corridor”, which also includes the Trans Anatolian Natural Gas Pipeline (TANAP) crossing Turkey, and the South Caucasus Pipeline (SCPX) crossing Azerbaijan and Georgia.

The pipeline will contribute to Europe’s energy supply and diversification, by transporting 10bcm/a of natural gas from the Shah Deniz 2 field in the Caspian Sea. TAP can also facilitate connections with the Interconnector Greece-Bulgaria (IGB) pipeline and the Ionian Adriatic Pipeline (IAP).

More specifically, the joint venture between J&P-AVAX and Bonatti will construct the following Greek onshore sections of the pipeline:

• Section 2 with a length of approx. 180.1 km, running from Nea Karvali in the Kavala prefecture to Nea Mesinvria in the Thessaloniki prefecture, through the prefectures of Drama, Serres, Kilkis and Thessaloniki, and
• Section 3 with a length of approx. 186.3 km, running from Nea Mesimvria in the Thessaloniki prefecture to the Greek-Albanian border south of the town of Krystallopigi, through the prefectures of Pella, Imathia, Kozani and Kastoria.

The project includes the installation of a 48” steel pipeline, crossing several rivers and mountains, roads as well as block valve stations. Construction works will commence immediately and will be delivered in line with TAP’s project schedule.

The J&P-AVAX group of companies has extensive expertise and know-how in construction of natural gas distribution networks and storage facilities. Group companies have in the past delivered important projects, including:

• construction of natural gas networks
  • high-pressure for industrial consumers, such as PPC and Hellenic Petroleum’s,
  • low- and medium-pressure for residential and commercial consumers in various prefectures in Greece,
• installation of valve / control stations and industrial stations for industrial consumers,
•  maintenance and flash repair services for natural gas distribution networks and their installations for DESFA SA, DEPA SA and regional natural gas companies EPA Attica and EPA Thessalia,
• construction of the first phase (two LNG tanks and cryogenic facilities) of DESFA SA’s installations, and their subsequent upgrade, on Revythousa island.

Currently, the Group is involved in the following natural gas projects:

• a 3rd LNG tank and upgrade of all facilities on Revythousa island on behalf of DESFA SA, budgeted at €107 million, and
• the floating LNG storage and re-gasification facilities in Malta, budgeted at €124 million, on behalf of the international consortium of GEM Holdings Ltd, Socar Trading SA, SIEMENS Project Ventures GmbH, and Gasol LNG Import Ltd.

Marousi, March 08, 2016
THE BOARD OF DIRECTORS