Weather conditions obstacles SOCAR's studies on prospective structure in Caspian Sea

Oil&Gas Materials 29 April 2010 12:48 (UTC +04:00)

Azerbaijan, Baku, April 29 / Trend E.Ismayilov /

Start of three-dimensional (3D) geophysical studies on the perspective offshore structure "Bahar-2" located in the Azerbaijani sector of the Caspian Sea, has been delayed due to adverse weather conditions, a source in the State Oil Company of the Azerbaijan Republic (SOCAR) said.

The company conducted part of the 3D studies in 2009. Then SOCAR suspended it for seasonal climatic changes. The 3D studies were expected to be resumed in late April. Conducting of the 3D studies is necessary to determine its geological structure.

"The work has not yet started. The main reason - is unsustainable adverse weather conditions, which obstacles work at sea," the source said.

SOCAR signed a PSA contract with Bahar Energy Limited for the exploration, rehabilitation and development of the Bahar and Gum Deniz offshore fields in the Azerbaijan sector of the Caspian Sea in December 2009. Bahar Energy Limited was registered in the Jebel Ali Free Trade Zone in the UAE.

The contract consists of two parts. The first involves the rehabilitation and stabilization of production on the field and the second - the exploration of the Bahar-2 promising structure. 

Initially it is planned to drill 50 new wells. Later on, the companies are expected to repair and restore 100 wells. SOCAR believes the attraction of foreign capital will allow stabilizing the oil and gas production from these fields and increasing the residual reserves in the short term.

Under the second part of the contract, which involves the exploration of the Bahar-2 structure, it is planned to drill one exploration well in three years and in case of necessity to drill another one in the fourth year.

Bahar has operated since 1969 and is located 40 kilometers southeast of Baku. So far, the field has produced over 16.8 million tons of oil and approximately 128.7 billion cubic meters of gas.

The contract is concluded for a period of 25 years with option to renew for the next five years. Initially, SOCAR's share of profitable hydrocarbon will be 40 percent, in the future it will be increased to 90 percent.

Do you have any feedback? Contact our journalist at [email protected]