SOCAR increases equity participation in its Georgian subsidiary

Oil&Gas Materials 30 June 2020 16:30 (UTC +04:00)

BAKU, Azerbaijan, June 30

By Nargiz Ismayilova – Trend:

The State Oil Company of Azerbaijan (SOCAR) has increased the equity participation up to 91.8 percent in its Georgian subsidiary, SOCAR Energy Georgia LLC, Trend reports with reference to the financial statements of the company prepared by the Ernst & Young Holdings (CIS) B.V.

On January 21, 2020, SOCAR acquired a 16.3 percent share in SOCAR Energy Georgia for 65 million manat ($38.2 million). As a result of this transaction, the share of SOCAR in the company increased from 75.5 percent to 91.8 percent, the report said.

In 2007-2018, SOCAR invested over $1 billion in the Georgian economy.

The activities of SOCAR in Georgia are carried out through SOCAR Georgia Petroleum, SOCAR Gas Export-Import, SOCAR Georgia Gas, SOCAR Georgia Gas Distribution, SOCAR Kulevi Oil Terminal (Black Sea Terminal) and other companies.

The SOCAR Georgia Petroleum organizes wholesale and retail sale of petroleum products of Azerbaijan and third parties on the Georgian market.

The SOCAR Georgia Gas' primary activity is to ensure the implementation of the gasification program in the country. The company supplies and distributes natural gas to the regions of Georgia and operates a local gas network with over 670,000 subscribers.

The main activity of SOCAR Gas Export-Import is the supply of natural gas to two groups of consumers - the population and production facilities.

(1 USD = 1.7 manat on June 30)


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