The 42-in gas pipeline extends from the Baumgarten gas hub in Lower Austria to Arnoldstein on the Italian border; the 380-km long pipeline delivers gas to Italy, Austria, Croatia as well as Slovenia. Currently its total annual delivery capacity is 37 billion cum.

In 2007, the capacity will be increased to approximately 41 billion cum/yr through the
completion of the third stage of the TAG Loop II extension which is now in progress. The
construction of an additional compressor station will boost capacity by a further 3.2 billion cum in 2008. The new compressor station will increase the capacity of the pipeline without the construction of an additional pipeline, and will be carried out by OMV Gas GmbH, a wholly-owned subsidiary of OMV AG. The construction work will start this autumn; at present, preparatory engineering work is being carried out.

Otto Musilek, managing director of OMV Gas, said on 17 June: “The expansion of the TAG system is a further step in the strengthening of the role played by the Austrian gas pipeline system and the Baumgarten gas hub. Through this consistent upgrading, we successfully meet the increasing demand for natural gas in Austria and Europe.”