Azerbaijan Investment Company JSC designated a local operator for the creation of a Ship-Owner Company in Azerbaijan, which will be involved in the transportation of oil goods.
The Deputy Executive Director of the JSC, Riad Gasimov, informed Trend that a Memorandum of Understanding between JSC and the operator is expected to be signed over the next two weeks.
Gasimov refused to name the company, but it is not Middle East Petrol, with which negotiations were held earlier, but an agreement was not reached.
After finalising the memorandum with the local operator, the Investment Company will attract external finances. Participation will be offered to the Black Sea Bank for Trade and Development (BSBTD), which voiced its wish to participate in joint projects with the Azerbaijan Investment Company, it is not ruled out that the European Bank for Reconstruction and Development will be an investor for the project.
According to Gasimov, financing may be attracted as credit or participation in the joint capital.
The minimum participation share of the operator in the newly created company will be at the level of 60-70%. The participation share of the Azerbaijan Investment Company in the project is expected to be 20-25%.
According to preliminary estimates, approximately $100 mln is required for the creation of the Ship-Owner Company.
The idea of creating the company emerged due to the increase of the volume of oil production and there are plans to increase revenue of the State from the transportation of oil through providing additional services.