В"SOCAR will not pay AOIC for petroleum gas extracted from Azeri oilfield. This gas shall be supplied for free. If BP wants to inject gas in formation, let it injectВ", - reportedly said Hoshbaht Yusifzadeh, first vice-president, SOCAR.
Azerbaijan already received nearly 500mln cubic meters of gas to date.
This volume is not included in annual mandatory 1.4bn that BP shall pump to Azerbaijan from ACG oilfields without compensation. However, this year Azerbaijan wants to receive 3bn cubic meters.
BP officials said the company is going to inject this gas in formation to maintain formation pressure. In case some part of gas is handed to Azerbaijan, volumes of injection and subsequent oil production will fall down. In a view of his, AIOC wants compensation. Trend reports from informed source that speech goes of compensation of additional production of 2mln bbl. As per the contract, all petroleum gas belongs to Azerbaijan and it has a full right to identify volumes to receive. Alongside, in the beginning of production BP utilized some 20mln cubic meters of gas and Azerbaijan might demand for compensation.
At the moment BP passes some 6-7mln cubic meters of petroleum gas a day to Azerbaijan. This gas is pumped to gas distribution system of JSC Azerigaz.