SOCAR: Azerbaijani-Turkish agreement to determine scope of gas supplies negotiations

Oil&Gas Materials 2 June 2010 13:06 (UTC +04:00)

Azerbaijan, Baku, June 2 / Trend E.Ismayilov /

A framework gas agreement to be signed between Azerbaijan and Turkey next week will create conditions to start negotiations with potential buyers of Azerbaijani gas, a senior representative of the State Oil Company of the Azerbaijan Republic (SOCAR) said.

He said the document will define the scope of negotiations.

Arrangements with buyers will be organized within 6-8 months.

"An agreement will create the conditions to define investment decisions [on Shah-Deniz 2]," the source added. 

First gas under Shah-Deniz 2 is planned for late 2016. According to initial estimates, plans include producing 15.7 billion cubic meters of gas a year in the second stage.

The contract to develop the offshore Shah Deniz Field was signed June 4, 1996. Members are: BP (operator) - 25.5 percent, Statoil - 25.5 percent, NICO - 10 percent, Total - 10 percent, Lukoil - 10 percent, TPAO - 9 percent and SOCAR - 10 percent.