I strongly believe, however, that the U.S. and regional governments are making good progress with the companies in overcoming the challenges and risks associated with selecting an oil export route from the Caspian region. I am confident that we now have the solid foundation on which to build this project as we enter the twenty-first century. Regional leaders are now showing the political leadership necessary to make a match between commercial and political reality. In August, several agreements were signed in Ashgabat that will expedite the development and construction of this pipeline. Caspian upstream development and the U.S. opposition to an oil pipeline through Iran, possible competition for investment capital from upstream energy development among the states of the Arabian Gulf, and the vagaries of oil supply, demand and pricing were also on Kalicki's agenda.
Companies appear to think so as well.
By continuing to aid our companies in their talks with regional governments and to facilitate negotiations in the interests of all parties, we hope to continue to foster close and lasting partnerships both throughout the region and with consumers worldwide. It is a pleasure to be here to address such a distinguished audience and, of course, to see so many familiar faces. And it is especially nice to have the opportunity to participate in this private forum, which I find indicative of the high level of company interest in the Caspian. During the brief time that I have, I would like to offer my views both on Caspian energy development and on how the United States has approached policy towards regional oil and gas transportation issues. While there are many commercial opportunities in the Caspian, they come with their fair share of political and economic risks, and facilitating the resolution of these challenges continues to be an important focus of U.S. energy policy in the Caspian.