SOCAR says OGPC one of its most important, strategic projects (PHOTO)
Baku, Azerbaijan, Nov.5
By Emil Ismayilov - Trend:
The project of creation of a new complex on oil and gas processing and petrochemical production in Azerbaijan is one of the most important and strategic projects of SOCAR (State Oil Company of Azerbaijan), the head of SOCAR Rovnag Abdullayev said Nov.5 during the second OGPC (Oil & Gas Processing & Petrochemicals Complex) forum.
He said that the decision to build a new complex was made taking into account the need to provide the country with oil products and the old state of the refining capacities.
A feasibility study and a ground for the start of construction have been prepared within the framework of the project, Abdullayev said.
The project is at the stage of engineering, procurement and construction at the current phase, he said.
The total cost of the first phase of the project is estimated at $7 billion (given a loan interest - $8.45 billion). The payback period will be 4-5 years. Around 30 percent of the project will be implemented through the state funds (the amount will be partially allocated during five years), while 70 percent - through the borrowed funds.
OGPC will be located 60 kilometers from Baku and will consist of three processing enterprises and a thermal power plant (TPP).
The OGPC construction project implementation will improve the product quality, enhance the export potential of the