BAKU, Azerbaijan, July 6. Revenues of Azerbaijan’s Southern Gas Corridor closed joint-stock company (CJSC) from sale of gas stood at $887 million in 2022, as compared to $382.8 million in 2021, Trend reports.
As such, the company’s revenues from gas sales rose by 2.3 times year-on-year.
This is while gas transportation brought the company $1.58 billion last year versus $1.24 billion in 2021, increasing by 27 percent year-on-year.
Its revenues from sale of crude oil grew from $135 million in 2021 to $182 million last year, showing a 35 percent increase.
According to the provisions of the Shah Deniz Production Sharing Agreement, the profit oil and gas is shared between the government and the contractor parties depending on cumulative after-tax real rate of return achieved as at the end of each calendar quarter by the contractor parties. During four quarters of 2021 and 1st quarter of 2022 the profit oil and gas was shared at a ratio of 55 percent to 45 percent in favor of the contractor parties. Starting from the 2nd quarter of 2022, the profit oil and gas was shared at a ratio of 55 percent to 45 percent in favor of the state.
On March 31, 2014, the State Oil Company of Azerbaijan Republic (SOCAR) and Azerbaijan's Ministry of Economy jointly established the Southern Gas Corridor (SGC) with ownership shares of 49 percent and 51 percent, respectively.
Later, all of SOCAR's stakes in the SGC projects were transferred to Southern Gas Corridor CJSC.
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