Dragon Oil increases oil transport via Azerbaijan

Oil&Gas Materials 21 July 2011 13:56 (UTC +04:00)

Azerbaijan, Baku, July 21 / Trend E. Ismayilov /

The Oil and Gas Company Dragon Oil, working in the Turkmen sector of the Caspian Sea, exported its entire volume of oil production from the first half of the year via Azerbaijan, compared to about 25 percent of its oil for the same period of last year, a report published on the official company website said.

The company reached a 25 percent increase in production during the first six months of this year. Daily oil production amounted to 58,000 barrels in January through June in 2011, compared to 46,420 during the same period in 2010.

Oil transported via Azerbaijan is delivered through the Baku-Tbilisi-Ceyhan pipeline.
Dragon Oil sold 4.9 million barrels in January-June, compared to 3.7 million barrels over the same period last year.

The company's activity is conducted in the eastern sector of the South Caspian Basin - in the Contract Area "Cheleken" - with reserves of 80 million tons of oil and 88 billion cubic meters of natural gas.

The basic PSA agreement with the Turkmen government was signed in 1999. The total area of the contract area is approximately 950 square kilometers. It includes the following deposits: Jeytun, Jigalibeg, and Chelekenyangummez.