Baku, Azerbaijan, Dec. 21
By Maksim Tsurkov – Trend:
Steering committees of the Azerbaijan International Operating Company (AIOC), which develops the Azeri-Chirag-Gunashli (ACG) block of oil fields, and the consortium for the Shah Deniz gas field’s development approved work programs for 2018, a source in Azerbaijan’s oil and gas market told Trend.
“A meeting of the steering committees took place,” the source said. “All discussions went smoothly, the work programs for 2018 and the related budgets on both projects were approved.”
A contract for development of the ACG block of oil and gas fields was signed in 1994. A ceremony to sign a new contract on the ACG development was held in Baku Sept. 14, 2017.
The new ACG participating interests are as follows: BP - 30.37 percent; AzACG (SOCAR) - 25 percent; Chevron - 9.57 percent; INPEX - 9.31 percent; Statoil - 7.27 percent; ExxonMobil - 6.79 percent; TP - 5.73 percent; ITOCHU - 3.65 percent; ONGC Videsh Limited (OVL) - 2.31 percent.
A contract for development of the Shah Deniz offshore field was signed on June 4, 1996. The field's reserve is estimated at 1.2 trillion cubic meters of gas.
The shareholders in the contract are: BP, operator (28.8 percent), AzSD (10 percent), SGC Upstream (6.7 percent), Statoil (15.5 percent), Lukoil (10 percent), NICO (10 percent) and TP (19 percent).
As part of the Shah Deniz 2 project, gas production will increase from 9 to 25 billion cubic meters per year. The produced gas will be exported to Turkey and the European markets through the expansion of the South Caucasus Pipeline and the construction of the Trans-Anatolian (TANAP) and Trans-Adriatic (TAP) gas pipelines.
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