AIOC,

meanwhile, exports its early oil through the Baku-Supsa (Georgia) pipeline which it owns and operates. But that pipeline can accommodate only a fraction of the future oil output from Azerbaijan. Any expansion of that pipeline would be pointless because, first, it terminates on the Black Sea; and second, because any additional volumes of oil pumped to Supsa would reduce the volumes available to be committed for export through Baku-Ceyhan. In the final analysis, procrastination on Baku-Ceyhan condemns Caspian oil producers–local countries and foreign companies alike–to existence in a vicious circle. Project development marks time because there is no MEP, while work on the MEP to Turkey is being held up on the grounds that the extractive projects do not yet produce enough oil.

“The Fortnight in Review” is prepared by senior analysts Jonas Bernstein (Russia), Stephen Foye (Security and Foreign Policy), and Vladimir Socor (Non-Russian republics). Editor, Stephen Foye. If you would like information on subscribing to the Monitor, or have any comments, suggestions or questions, please contact us by e-mail at pubs@jamestown.org, by fax at 301-562-8021, or by postal mail at The Jamestown Foundation, 4526 43rd Street NW, Washington, DC 20016. Unauthorized reproduction or redistribution of “The Fortnight in Review” is strictly prohibited by law. Copyright (c) 1983-2002 The Jamestown Foundation