Today, Michael Hoffman, Manager of BP Azerbaijan, said that BP Azerbaijan and the International Financial Corporation (IFC) signed an agreement on the start up of the second project on financing the material and technical procurement (SFF-2) to the sum of $16,2 mln, Trend reports.
The project envisages crediting Azerbaijan companies who are subcontractors on BP projects to improve their material and technical base.
The project is envisaged to support the development of local enterprises-suppliers of goods and services in Azerbaijan oil and gas sector. BP participates in the project on behalf of its partners in the country, said Mr. Hoffman.
BP on behalf of its partners and IFC are expected to invest $5,2 mln. into each project. The rest will be put by the Azerbaijan financial organization to be chosen by IFC. BP, IFC, and the Microfinancing Bank of Azerbaijan have already launched the implementation of SFF-1 to the sum of $316,000. Within the first stage, a credit has already been granted to AzMETCO Company which is engaged in providing BP with the complex control and automatics units.
SFF Project is being implemented in accordance with the BP tasks on doubling expenses on investments to local companies and bringing them up to $500 mln.