SOFAZ Receives Over $65mln in Bonus Payments in 2007
Azerbaijan, Baku, 14 March / corr Trend I.Khalilova / In 2007, the State Oil Fund of Azerbaijan (SOFAZ) received $67mln in bonus payments from the foreign companies, which are involved in the development of oil and gas fields in the country, according to the Government's report on socio-economic development of Azerbaijan in 2007.
In 2007, SOFAZ received $45mln in bonus payment from the foreign participants in the Shah Deniz project because of the production of the first gas from this gas field. In accordance with the participation share in the Shah Deniz project, its foreign partners accumulated bonus in the following way: StatoilHydro (Norway) paid $12.7mln, Bp - $12,7mln, LUKOIL (Russia) $5 mln, TOTAL (France) $5mln, NICO (Iran) $5mln, TPAO (Turkey) $4.5mln ($45mln in total). At present, gas and condensate production is underway at the field. Gas is sold to Azerbaijan, Georgia, and Turkey, whereas condensate is exported together with the light oil via Baku-Tbilisi-Ceyhan pipeline.
In 2007, the SOFAR received $20mln in bonus payment from LUKOIL Overseas Operating Company- under the Production Sharing Agreement on exploration and development of Yalama (D-222) field.
In 2007, SOFAR received $2mlnin bonus payment from Russneft under the contract on development of Hovsani-Zykh onshore field.