Shirvan Oil Company Produced more than 127,000 Tons of Oil
Azerbaijan, Baku / Trend / In January-July 2007 Shirvan Oil JV produced 127,826 tons of oil in the contract area of Kurovdag field and of them, 120,493 tons were transferred to the State, said Director General of Shirvan Oil, Mammad Imanov. The gas production over this period made up 15.447mln cu.m, with 9.727mln transfer to State. Over the reported period, 15 wells have been transferred from inactive to active fund.
A PSA contract on restoration, development, and division of the production from a block at the Azerbaijani Kurovdag oil on-shore field was signed in November 2004 by SOCAR, Caspian Energy Group company and an affiliated company of SOCAR. In accordance with the agreement, Shirvanoil Operating Company will be established on the basis of Shirvanoil JV.
In compliance with the contract, SOCAR and Caspian Energy Group own a 50% share of the enterprise each. The amount of presumed investments to the project makes up $200-300mln.
In November 2004 the SOCAR signed PSA with Caspian Energy Group (former Whitehall) on Kurovdag. Each side acquires 50% share in the agreement. Since 1997 Shirvan Oil has been involved in the rehabilitation of Kurovdag, where Caspian Energy Group possesses 51% participation share.
Kurovdag field was discovered in 1929; its development began in 1955. Up to now, more than 36mln tons of oil have been produced and more than 1.6mln tons of production fell on Shirvan Oil (since 1997).