BAKU, Azerbaijan, Nov.19
By Leman Zeynalova – Trend:
Oil revenue earned by Canada’s Zenith Energy company in Azerbaijan for the six months ended September 30, 2019, was CAD$ 2,612k (2.612 million Canadian dollars or 1.977 million US dollars) versus CAD$ 3,738k (3.738 million Canadian dollars or 2.830 million US dollars) in the comparative 2018 period, Trend reports citing Zenith Energy, operator for development of Muradkhanli-Jafarli-Zardab block of oil fields.
The price per barrel received for oil during the six months ended September 30, 2019, was CAD$66.75 (50.55 US dollars) per barrel, as compared to CAD$96.60 (73.15 US dollars) per barrel earned on oil sales during the comparative 2018 period.
Zenith Energy produced 19,878 barrels and 40,396 barrels of oil, respectively, during the three and six months ended September 30, 2019
During the three and six months ended September 30, 2019 the company sold 18,707 and 39,122 barrels of oil from its assets in Azerbaijan, as compared to 18,813 and 38,695 bbls of oil sold in the 2018 similar period.
Azerbaijan’s state oil company SOCAR and Zenith Aran Oil Company signed a Rehabilitation, Exploration, Development and Production Sharing Agreement (REDPSA) in March 2016 for a block that includes the Muradkhanli, Jafarli and Zardab oil fields. Zenith Energy Ltd established its subsidiary company Zenith Aran Oil Company Ltd for production operations in these three fields. Production under the agreement began in August 2016.
Zenith holds an 80-percent participating interest in the three fields within the contract area, while SOCAR retains the remaining 20 percent. The agreement is for 25 years, with a potential extension by five additional years.
The total area of the Muradkhanli, Jafarli and Zardab fields is 642.2 square kilometers, and according to the contract, it is divided into rehabilitation and exploration territories.
The Muradkhanli-Jafarli-Zardab block is located in the Yevlakh-Agjabadi oil and gas region of Imishli district of Azerbaijan. The Muradkhanli field was discovered in 1971, Jafarli - in 1984, and Zardab - in 1981.
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