SOCAR reveals volume of gas produced at Shah Deniz field in 2014
Baku, Azerbaijan, Jan.16
By Emil Ismayilov - Trend:
Azerbaijan produced over three billion cubic meters of gas from Shah Deniz gas condensate field in 2014, compared to 4.8 billion cubic meters in 2013, a source at Azerbaijani State Oil Company (SOCAR) told Trend on Jan.15.
Part of the gas produced at Shah Deniz field is delivered to Georgia and Turkey via the South Caucasus gas pipeline, as well as to the gas compressor stations of Baku-Tbilisi-Ceyhan oil pipeline.
The decrease in the volume of Azerbaijan's gas production is the result of increasing the gas extraction (the volumes that were not reached earlier) by Turkish side.
"Azerbaijan produced a total of 3.1 billion cubic meters of gas at Shah Deniz field as of 2014," said the source.
The reserve of Shah Deniz field is estimated at 1.2 trillion cubic meters of gas. The contract for the development of this offshore field was signed on June 4, 1996.
About 9.8 billion cubic meters of gas and 2.48 million metric tons of condensate (19.6 million barrels) were produced at the Shah Deniz field in 2013, compared to 7.73 billion cubic meters of gas and 2 million metric tons of condensate in 2012.
The shareholders are: BP, operator (28.8 percent), Statoil (15.5 percent), NICO (10 percent), Total (10 percent), Lukoil (10 percent), TPAO (9 percent) and SOCAR (16.7 percent). These percentages include the recent purchases of equity from Statoil by BP and SOCAR.
Earlier, Total entered into an agreement to sell its interest in Shah Deniz to TPAO. After the transaction is over, the share of the latter in the project will be 19 percent.
Moreover, Norway's Statoil sold its 15.5-percent share in the Shah Deniz project to the Malaysian oil and gas company Petronas. The transactions on the sale and purchase of shares haven't been completed yet.
A final investment decision was made on December 17, 2013, on the Stage 2 of the 'Shah Deniz' offshore gas and condensate field's development. It is planned to produce additional 16 billion cubic meters of gas per year under the Shah Deniz-2 project.
The gas to be produced as part of the Stage 2 of the field's development will be exported to Turkey and to the European markets by means of expanding the South Caucasus Pipeline and construction of the Trans-Anatolian Gas Pipeline (TANAP) and the Trans-Adriatic Pipeline (TAP).
The first gas will be delivered to Turkey in 2018 and to Europe in 2019.
Edited by CN
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