The United States and the European Union recognize the importance of Caspian Basin oil and gas resources in contributing to the economic prosperity, energy security, and stability of the region.
These resources will be an important addition to world oil and gas supplies and require secure access routes to world markets.
Essential to this development will be the early availability of multiple pipelines. Major export pipelines from the Caspian will accordingly contribute to the secure delivery of an important new source of world energy supplies.
The European Union's INOGATE program is designed to promote the security of energy supplies. It includes work on: revitalization of the existing transmission network and on new oil and gas pipelines across the Caspian, Black Sea region and westwards to Europe; urgent renovation of hazardous infrastructure; strengthening regional cooperation; compliance with international standards; reform of the region's energy sectors; and protection of foreign investments. The European Union's TRACECA project supports the development of an eastwest transport and trade corridor from Central Asia, across the Caspian Sea, the Caucasus, and the Black Sea, to Europe.
The United States strongly endorses commercially and environmentally sound projects to develop Caspian energy resources and their transport to international markets. U.S. technical assistance and training programs are helping many of the Caspian states improve their legal regimes to encourage private investment in energy development and transport. The United States underscores that the Caspian Pipeline Consortium project is a critical component of a commercially driven multiple pipeline system for the entire region. The United States has provided a grant to Turkmenistan to complete a feasibility study for a trans-Caspian gas pipeline.
Commercial considerations will first and foremost determine decisions on the development of energy projects and export routes. It is the private sector that will make the investments and take the risks. Projects therefore need to be economically viable and competitive. They must also meet the highest environmental standards.
The United States and the European Union welcome the progress made by the littoral states towards formulating a legal regime for the Caspian that will enhance rapid development of the region's energy resources. They express the hope that the littoral states will reach early agreement.
NOTE: This statement was made available by the Office of the Press Secretary on May 18 but was not issued as a White House press release. An original was not available for verification of the content of this statement.
William J. Clinton, United States/European Union Joint Statement on Caspian Energy Online by Gerhard Peters and John T. Woolley, The American Presidency Project https://www.presidency.ucsb.edu/node/225524