Selection of partner for Azerbaijani oil-gas project on hold

Economy Materials 25 November 2015 10:55 (UTC +04:00)

Baku, Azerbaijan, Nov. 25

By Maksim Tsurkov - Trend:

The process of identifying a new partner of the US Greenfields Petroleum company in the Bahar Energy Ltd. project to develop oil and gas block, which includes "Bahar" and "Gum Deniz" fields in the Azerbaijani sector of the Caspian Sea, will take more time than it was planned, a source on the oil and gas market of Azerbaijan told Trend Nov.24.

The source said that earlier it was expected that the company, which will receive 66.67 percent of the bankrupt Baghlan Group's share, will be determined by late November 2015.

"However, the process will take more time than initially planned," said the source. "Greenfields Petroleum is still awaiting confirmation from the SOCAR (State Oil Company of Azerbaijan) on this issue," said the source.

"Most likely, the process will take another two months, and by late January 2016 it will be announced who will become the participant of the development project."

Earlier, SOCAR signed a PSA contract with Bahar Energy Limited for the exploration, rehabilitation and development of the Bahar and Gum Deniz offshore fields in the Azerbaijan sector of the Caspian Sea.

Under the second part of the contract, which involves the exploration of the Bahar-2 structure, plans include drilling one exploration well in three years and another in the fourth year. According to preliminary calculations, Bahar Energy Limited's investment volume for 25 years will amount to $1 billion.

Bahar has operated since 1969 and is located 40 kilometers southeast of Baku.


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