BAKU, Azerbaijan, August 9. Azerbaijan’s state oil company SOCAR will maintain a strong financial profile until 2027, Trend reports with reference to Fitch Ratings.
Fitch analysts note that SOCAR's leverage has historically been relatively high compared with its peer group, but has declined since 2022.
“This reflects higher cash-flow generation due to higher oil and gas prices. We expect that SOCAR will maintain a strong financial profile over the forecast period until 2027 under Fitch's oil and gas price deck, which supports the 'bb-' SCP. The SCP also takes into account the moderate scale of operations and is constrained by corporate governance considerations, with significant limitations on the disclosure of information,” reads a report released by the rating agency.
SOCAR is engaged in exploration of oil and gas fields, the production, processing and transportation of oil, gas and gas condensate, the sale of oil and petrochemicals in the domestic and international markets, the supply of natural gas to industrial enterprises and the population of Azerbaijan, as well as Europe.
The company conducts various activities in countries such as Türkiye, Georgia, Romania, Switzerland, Germany and Ukraine, including trading activities mainly in Switzerland, Singapore and Nigeria.
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