Azerbaijan, Baku, Nov. 3 / Trend E. Ismayilov /
BP reported this week that roughly $1.099 billion of its total capital expenditures during the third quarter of this year fell to Azerbaijan under its deal to acquire Devon Energy's equity in the Azeri-Chirag-Guneshli (ACG) development project.
The company's total capital expenditures amounted to $17.555 million over the first nine months of this year compared to $ 14.396 million during the same period last year. Capital expenditures totaled $6.656 million in the third quarter compared to $ 4.983 million during the same period last year.
BP, a party and operator of several large energy projects in Azerbaijan, announced its acquisition of Devon Energy's equity in the ACG development in August.
Devon Energy's 5.63-percent stake in ACG development will be split between BP (3.29 percent) and the following parties, which have exercised preferential rights in relation to the transaction, Chevron (0.99 percent), Inpex (0.96 percent) and Itochu (0.38 percent).
The additional interest acquired from Devon will increase BP's operating interest in the ACG development to 37.43 percent and those of Chevron, Inpex and Itochu to 11.27 percent, 10.96 percent and 4.30 percent, respectively, with the remaining interests held by AzACG (a State Oil Company of the Azerbaijan Republic subsidiary - 10 percent), Statoil (8.56 percent), Exxon (8.00 percent), TPAO (6.75 percent) and Hess (2.72 percent).
On March 11, BP announced a broad-ranging deal, in which BP agreed to pay Devon Energy $7 billion in cash for assets in Brazil, Azerbaijan and the U.S. deepwater Gulf of Mexico.