Details added: first version posted on April 14, 16:50
BAKU, Azerbaijan, April 14. President of Azerbaijan Ilham Aliyev has signed the law “On adoption, approval and granting of permission for the implementation of the Risk Servicing Agreement between the State Oil Company of Azerbaijan (SOCAR) and GL international LTD LLC in connection with the restoration and development of the Buzovna-Mashtaga, Gala and Zira block of oil fields", Trend reports.
According to the document, the above agreement was concluded between SOCAR and GL international LTD LLC on December 14, 2021.
Based on paragraph 4 of the first part of Article 95 of the Constitution of Azerbaijan, the parliament has decided to:
- accept and approve the Risk Servicing Agreement between SOCAR and GL International LTD in connection with the restoration and development of a block including the Buzovna-Mashtaga, Gala and Zira oil fields in the Republic of Azerbaijan, and give permission for its implementation.
- accept the guarantees and obligations provided by the Azerbaijani government to the contractor
- a party to the agreement ("government guarantee"), and give permission for their implementation.
- adopt 11 appendices ("additions") to the main text of the agreement and give permission for their implementation.
In accordance with the decision, after the enforcement of the law, the agreement, state guarantees and additions will become law.
The decision also stipulates the following items:
- Unless otherwise specified in the agreement, the agreement, state guarantees and additions during the term of the agreement take precedence over the provisions of any other existing or enacted laws, decrees or administrative orders of Azerbaijan (or parts thereof) that are inconsistent with or contrary to this agreement, state guarantees and additions.
- After the enforcement of this law, all other rights and obligations which may be granted in relation to any part of the contractual scope provided for by the agreement, any previously concluded agreement, contract or other similar document, shall be terminated.
- After the enforcement of this law in accordance with the terms of the agreement, state guarantees and additions and during the entire period of their validity, the parties to the agreement shall be granted the exclusive right to conduct oil and gas operations in the contract area.
- The rights and interests of the contractor (or its successors) under the agreement, state guarantees and additions after the enforcement of this law cannot be amended, modified or limited without its prior consent.
- The contractor shall be provided with all necessary licenses, permits, visas, other powers and sanctions to fulfill the rights and obligations arising from the agreement.
- In accordance with the terms of the agreement, any additions, corrections, amendments to the agreement or annexes to it shall be made only by mutual written consent of the parties to the agreement.