Iranian company continues condensate shipments from Azerbaijani field

Oil&Gas Materials 26 December 2011 18:07 (UTC +04:00)

Azerbaijan, Baku, Dec.26/ Trend, E.Ismayilov /

In November Sangachal terminal accepted about 61,350 barrels of gas condensate from the Azerbaijani Shah Deniz field destined for the Iranian company NICO, a source in oil and gas market told Trend on Monday.

NICO receives condensate from the field within participation in the contract on "Shah Deniz" field development.

He said Sangachal oil terminal received condensate from the field through the existing marine infrastructure, and later is transported to the terminal in the Garadag district of Baku.

"The volumes supplied to the Sangachal terminal for NICO are small and periodic," the source said.

Since March of this year, Iranian company NICO, which is not a participant of the Baku-Tbilisi-Ceyhan oil pipeline project, has been transporting condensate from Shah Deniz by railway to Batumi.

Sangachal oil terminal was built to ensure transportation of oil and gas produced in within the project on the development of the "Azeri-Chirag-Guneshli" oil and gas fields' block in the Azerbaijani sector of the Caspian Sea. Also, gas and condensate produced on the "Shah Deniz" gas-condensate field is transported through the terminal.

The contract to develop the offshore Shah Deniz field was signed June 4, 1996. Participants to the agreement are: BP (operator) - 25.5 percent, Statoil - 25.5 percent, NICO - 10 percent, Total - 10 percent, LukAgip - 10 percent, TPAO - 9 percent, SOCAR-10 percent.