Baku, Azerbaijan, Nov. 4
By Maksim Tsurkov - Trend:
Shifting changes in product prices are characteristic of the oil and gas sector, therefore low oil prices will soon be replaced by higher ones, says Vitaly Baylarbayov, SOCAR deputy vice-president for investments and marketing.
Baylarbayov, addressing the SPE Annual Caspian Technical Conference and Exhibition in Baku, Nov. 4, said the positive side of low oil prices is that it forces companies to create and apply new technologies.
"The current period of development in the oil industry is facing a number of challenges, low prices being among them," he said.
"However, price changes take place in an undulating manner, and so high prices can be expected to soon replace low ones," noted Baylarbayov.
The price of Azerbaijani light oil on Nov. 3 was $50.19 per barrel, or $0.99 per barrel higher than on Nov. 2.
Azerbaijan has been jointly producing light oil since 1997 with foreign partners of the country's state oil company SOCAR.
Light oil is produced at the Azeri-Chirag-Gunashli offshore fields. It is delivered directly to the Turkish port of Ceyhan via the Baku-Tbilisi-Ceyhan oil pipeline, and to the Georgian port of Supsa through the Baku-Supsa pipeline.
Azerbaijan also exports URALS oil from the Novorossiysk port, which is delivered via the Baku-Novorossiysk pipeline.
---
Follow the author on Twitter: @MaksimTsurkov