SOCAR says preparing for exploration at Babek structure

Oil&Gas Materials 1 June 2017 18:45 (UTC +04:00)

Baku, Azerbaijan, June 1

By Maksim Tsurkov – Trend:

The Azerbaijani state oil company SOCAR is preparing to carry out prospecting work at the promising Babek gas structure, said SOCAR First Vice-President Khoshbakht Yusifzade.

He made the remarks at the 24th Caspian International Oil and Gas Conference in Baku June 1.

The prospecting is scheduled to start in 2018, according to Yusifzade.

He noted that more than 1 million cubic meters of gas and 200 tons of condensate are daily produced at the Umid field.

“The first risk service contract in the history of Azerbaijan was signed in the beginning of the year, which includes development of Umid and exploration at the prospective Babek structure. SOCAR is now carrying out preparations to start exploration there in 2018,” Yusifzade said.

The risk service contract (a contract with a minimum guarantee of compensation) for exploration and development of an offshore block including the Umid gas field and the promising Babek structure in the Caspian Sea was signed between SOCAR and SOCAR Umid Oil and Gas Ltd on January 12.

SOCAR announced the discovery of Umid in 2010. Drilling of a first exploration well revealed that the field holds over 200 billion cubic meters of gas and 40 million tons of condensate. Reserves of the promising Babek field may be 400 billion cubic meters of gas and 80 million tons of condensate.