Date for final investment decision on Shah Deniz project announced

Oil&Gas Materials 30 December 2012 16:53 (UTC +04:00)

Azerbaijan, Baku, Dec. 30 / Trend E.Ismayilov /

The members of the consortium developing Shah Deniz gas condensate field in the Azerbaijani sector of the Caspian Sea will take a final investment decision in late 2013 within the second stage of field development, the head of State Oil Company of Azerbaijan (SOCAR) Rovnag Abdullayev told journalists on Sunday.

"The exact cost and technical parameters of the project will be determined following the adoption of final investment decision," Abdullayev said.

He said up to six billion dollars can be invested in the project within the investment program of second phase of Shah Deniz development in 2013 and "this will be the beginning of the investment process."

Some 16 billion cubic meters of gas a year will be additionally extracted within the second stage of field development. Around 6 billion will be delivered to Turkey and 10 billion to Europe.
The contract on development of off-shore Shah Deniz field was signed on 4 June 1996. Shah Deniz participating interests are: ВР (operator - 25.5%), StatoilHydro (25.5%), SOCAR (10%), LukAgip (10%), NICO (10%), Total (10%), and TPAO (9%).