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Bahar Energy's gas sales from Azerbaijani field down

Oil&Gas Materials 8 June 2018 13:51 (UTC +04:00)

Baku, Azerbaijan, June 8

By Maksim Tsurkov - Trend:

In the first quarter of 2018, Bahar Energy reduced sales of natural gas produced at the Azerbaijani oil and gas block Bahar-Gum Deniz, operated by the company in the Caspian Sea, by 14 percent, a source in the Azerbaijani oil and gas market told Trend on June 8.

In the first quarter this year, daily sales of Bahar Energy averaged 597 barrels of oil and 420,650 cubic meters of gas.

“In comparison with the indicators of the first quarter of 2017, oil sales decreased by 16 percent, while sales of natural gas decreased by 14 percent,” the source said.

The average cost of oil sold was $63.11 per barrel, while in the first quarter of 2017 it was $48.2 per barrel, according to the source.

“Since April 1, 2017, gas is sold at the price fixed in the renewed five-year contract with SOCAR [Azerbaijan’s state oil company], which is $95 per 1,000 cubic meters,” the source said. “In general, the company started the year with a net loss of $2.6 million.”

A contract for exploration, rehabilitation, development and production at Bahar and Gum Deniz was signed by Azerbaijan’s state oil company SOCAR (20 percent) and Bahar Energy (80 percent) in 2009. The Bahar field, developed since 1969, is located 40 kilometers southeast of Baku.

The 100 percent shares of the operating company Bahar Energy Limited belong to the Greenfields Petroleum.

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