BAKU, Azerbaijan, December 11. President of the Republic of Azerbaijan Ilham Aliyev has signed a law approving the "Second Amendment to the Agreement of September 14, 2017, on the joint development and production sharing from the Azeri, Chirag, and the Deepwater Portion of the Gunashli Fields in the Azerbaijani Sector of the Caspian Sea and authorizing its implementation, Trend reports.
According to the document, signed on August 1, 2024, in Baku between the State Oil Company of Azerbaijan (SOCAR) and Azerbaijan ACG Limited, bp Exploration (Caspian Sea) Ltd, Equinor Absheron AS, Exxon Azerbaijan Limited, INPEX Southwest Caspian Sea, Ltd., ITOCHU Oil Exploration (Azerbaijan) Inc., MOL Azerbaijan Ltd., ONGC Videsh Limited, and Türkiye Petrolleri Anonim Ortaklığı (TPAO), it establishes the legal framework for the joint oil production activities in the Caspian Sea.
The law introduces two additional sections (Annexes) to the main text of the Second Amendment, approving and authorizing their implementation. Once the law comes into effect, the Second Amendment and its Annexes will hold legal status and will take precedence over any conflicting provisions of existing or future laws, decrees, or administrative orders in Azerbaijan.
As of the law's enactment, contractors are granted exclusive rights to conduct oil and gas operations for free natural gas as outlined in the Second Amendment and its Annexes for the entire duration of their validity. The rights and interests acquired by the contractors under the Second Amendment cannot be modified or reduced without prior consent from all parties involved.
To fulfill the rights and obligations arising from the Second Addendum, the Contracting Parties shall be granted all necessary licenses, customs permits, visas, and any other relevant authorizations and sanctions.
Any additions, amendments, or modifications to the Second Addendum or Annexes shall only be made with the written consent of the parties to the Agreement, as specified in Article 1 of this Law".