Gas exports from Azerbaijan are unlikely to reach continental Europe before 2010, according to Statoil, the Norwegian company that is developing a major Azeri gas deposit for export. Peter Mellbye, Statoil vice-president, told reporters on Friday (23 January) that the company does not believe that Azeri gas supplies will be exported beyond Turkey before the end of the decade, despite Greece\'s hopes to start importing Azeri gas by 2008 (see Global: 23 January 2004: Greece-Turkey Gas Pipeline Will Open Europe Up to Iranian and Caspian Exports). Statoil and BP are leading the development of Azerbaijan\'s offshore Shah Deniz gas field, which has reserves estimated at 1 Tcm. Turkey\'s economic recession and weakening gas demand has already caused the consortium developing Shah Deniz to postpone the supply of the first Azeri gas to Turkey by one year until 2006. As a result, Greece, which has agreed to build a pipeline link to Turkey as both countries seek to become gas transit hubs for Caspian region gas exports to Europe, was forced to push back imports of Azeri gas until 2008. Statoil believes, however, that Azeri gas will not be able to penetrate Europe beyond Turkey until 2010, since the second phase of development of Shah Deniz will not begin until then. (WMRC Daily Analysis)