SOCAR, ВР mulling joint development of offshore perspective structures in Caspian
Azerbaijan, Baku, Sept. 16 / Trend , E.Ismayilov/
The State Oil Company of Azerbaijan Republic (SOCAR) and BP are discussing commercial issues under the memorandum on mutual understanding, signed earlier to jointly explore and develop the offshore Shafag and Asiman structures, a senior official of SOCAR said.
"Now we are discussing the initial phase of the commercial issues on this project. This is not a very urgent matter and is the subject of long-term negotiations," said the SOCAR official.
A good experience of cooperation and partnership binds SOCAR and BP and "I don't see any problem here", he said.
In July, BP and SOCAR (the State Oil Company of the Republic of Azerbaijan) signed a memorandum of understanding (MOU) to jointly explore and develop the Shafag and Asiman structures in the Azerbaijan sector of the Caspian Sea in London. The MOU was signed by Rovnag Abdullayev, President of SOCAR, and Andy Inglis, BP's Chief Executive of Exploration and Production.
As part of the government's plan to ensure that all of Azerbaijan's offshore waters are fully exploited this MOU gives BP the exclusive right to negotiate a production sharing agreement to explore and develop the block, which lies some 125 kilometres (78 miles) to the south east of Baku. It is located in a deepwater section of about 650-800 metres with reservoir depth of about 7000 metres.
BP is a key foreign oil investor in Azerbaijan and leads the project on development of the Azeri-Chirag-Guneshli block and Shah Deniz gas condensate field. BP is also an operator of the Baku-Tbilisi-Ceyhan oil pipeline.