The loan agreement was signed this week by the Southern Gas Corridor company of Azerbaijan and the International Bank for Reconstruction & Development (IBRD), part of the World Bank group.

The IBRD will also provide a similar loan of $400 million to the Turkish state pipeline company Botas, a shareholder in Tanap.

Late last year, the World Bank joined Asian Infrastructure Investment Bank in co-financing a $600 million loan to Tanap, while the Asian Development Bank opened a $1 billion line to Azerbaijan for expansion of the Shah Deniz gas field, which will supply the gas.