US BANK APPROVES 160M-OLLAR LOAN UNDER BAKU-CEYHAN PIPELINE PROJECT

Text of report by Azerbaijani news agency Turan

Washington, 5 January: The US Exim-Bank approved on 30 December a long-term guarantee of 160m dollars for the export of American equipment and services to be used in the construction of the Baku-Tbilisi-Ceyhan (BTC) oil pipeline. The bank made the decision after submitting information on the project to the US Congress.

"The US involvement in this project will give the Americans thousands of jobs among the exporters and suppliers," the bank's chairman, Philip Merrill, said.

US companies will supply engineering services, management and pumping systems for the project.

In assessing the project's environmental impact, Exim-Bank cooperated with the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD) and export-credit agencies of other countries to ensure that the project meets international standards.

The IFC, the EBRD, the US Overseas Private Investment Corporation (OPIC) and four commercial banks are involved in financing the project which is valued at about 3bn dollars.

Source: Turan news agency, Baku, in Russian 1140 gmt 5 Jan 04