BAKU, Azerbaijan, June 13. Payments to the budget of Azerbaijan’s State Oil Fund (SOFAZ) on contract areas within the agreement on the exploration, development and distribution of the production share of hydrocarbons from Shafag-Asiman offshore block of fields made up over 5.3 million manat ($3.1 million), the SOFAZ report on the execution of its budget for last year said, Trend reports.
According to the fund’s report, this figure is 1.1 million manat or $650,000 (27.4 percent) more than the approved figure for 2021, while in 2020, it was 1.5 million manat or $880,000 (21.8 percent) less.
Last year, it was envisioned to receive $2.1 million for contract area of 1,059 sq. km.
The payments are made under article 28 of the agreement between SOFAZ, BP Exploration Azerbaijan Limited and SOCAR (State Oil Company of Azerbaijan) oil affiliate on the exploration, development and distribution of the production share of the Shafag-Asiman offshore block of fields in the Azerbaijani sector of the Caspian Sea.
Besides, under article 28 of the agreement on the exploration, development and distribution of the production share of the Ashari-Dan Ulduzu-Aypara field, during the main, as well as the additional exploration period, contracting parties shall pay $2,000 for each square kilometer of the contract area.
Follow the author on Twitter: @mariiiakhm