Anshad Petrol and Gobustan Operating Company sold SOCAR 14mln m3 of free gas

Oil&Gas Materials 5 June 2006 17:55 (UTC +04:00)

In January-May 2006 Anshad Petrol joint venture (JV) and Gobu¬stan Operating Com¬pa¬ny sold a total of 13.28 million cubic meters of free gas to the State Oil Company of Azerbaijan (SOCAR), up 0.2 million cubic meters over year, the SOCAR told Trend. In May the companies sold 1.82 million cu m of gas.

Anshad Petrol extracts gas from the wells on Neftchala, Khilly and Babazanan contract area. The JV started the export of free gas in April 2004 in the volume of 2 million cubic meters. SOCAR buys gas from Anshad Petrol at the price of 65,000 AZM (about $13 per 1000 cu m) and transfers to Azerigaz JSC, which, in its turn, distributes the fuel through Azrtrasngaz Production Association (PA), a part of Azerigaz.

Gobustan Operating Company (GOC) is developing Southwest Gobustan lock under the PSA signed with SOCAR. This year the company started selling free gas to SOCAR. 80% stock in GOC belongs to Commonwealth Gobustan Limited, 20% to SOCAR. 37.17% stock in Commonwealth Gobustan Limited belongs to Arawak Energy and 62.83% - to China National Petroleum Company.

Anshad Petrol JV was founded in 1993 between the SOCAR and the Turkish Atilla Dogan Petrol based on the former Neftechalaneft Oil and Gas Production Unit (OGPU). In 1994-1996 Atilla Dogan Petrol operated Anshad Petrol JV, but since 1997 the SOCAR has assumed this function. In 1995 the Malaysian Land and General Berhad became the project partner through purchasing 17.15%-stake from Atilla Dogan Petrol.