Oil production in Azerbaijan to increase in 2012

Oil&Gas Materials 12 January 2012 19:34 (UTC +04:00)

Azerbaijan, Baku, Jan. 12 /Trend E.Ismayilov/

It is projected that Azerbaijan will produce 45.45 mln. tons of oil in 2012 compared to about 45.3 mln. In 2011, a source in oil and gas market told Trend on Thursday.

Some 35.1 tons from the total amount of oil, which is expected to produce in 2012, will be extracted from Azeri-Chirag-Guneshli field in the Azerbaijani sector of the Caspian Sea.. This figure is practically the same as in 2011.

The contract to develop a large offshore field Azeri-Chirag-Guneshli was signed in 1994.

Participants of the project to develop Azeri-Chirag-Guneshli are: BP (operator - 35.83 percent), Chevron (11.27 percent), Inpex (10.96 percent), AzACG (11.6 percent), Statoil (8.56 percent), Exxon (8 percent), TPAO (6.75 percent), Itocu (4.3 percent) and Hess (2.72 percent).

The source said, the rest of the oil, which will be produced in 2012 will be produced, will fell on oil produced by the State Oil Company of Azerbaijan (SOCAR), as well as condensate from Shah Deniz field, developed jointly with foreign companies., Oil production of SOCAR is forecasted at 8.35 million tons in 2012compared to about 8.4 million tons in 2011. Extraction of condensate predicted in volume of two million tons compared to about 1.8 million tons in 2011.

The Shah Deniz field's gas reserves are estimated at 1.2 billion cubic meters, while condensate - 240 million tons.

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.

At present, Azerbaijan operates 61 oil and gas deposits, 21of which are in the sea, and the other on land.