Oil and gas (January 2010)

1. FEC

а) Oil and gas production

In January, Azerbaijan produced 4.27 million tons of oil products which is 17.6 percent higher than the figure in January 2009, State Statistics Committee of Azerbaijan reported.

In January, the bulk of oil production fell on the Azerbaijan International Operating Company, which produced from Azeri-Chirag-Guneshli and Shah Deniz fields 3.5 million tons of crude oil and condensate, which is 21.5 percent higher than January 2009

In January, gas production in Azerbaijan hit 2.27 billion cubic meters (along with the volumes of gas that had been pumped back into the reservoir), which is 16.8 percent higher than the figure recorded in same period of 2009.

Production of gas from the Azeri-Chirag-Guneshli and Shakh Deniz fields hit 946.77 million cubic meters which is 5.3 percent lower than the index in January, 2009

b) Oil refinery

In January, Azerbaijan produced 401.48 million tons of oil products compared to 453.23 million tons in January 2009, SOCAR, which owns two refineries, reported.

In January, the bulk volume of production fell to diesel fuel - 217,440 tons compared to 191,510 tons in January last year.

Oil products are produced at two Baku refineries with capacity of 20 million tons of oil per year. Two refineries enter SOCAR annually processing 7 million tons of oil extracted onshore and offshore owing to own funds. In January the ORP's refined about 563,250 tons of oil compared to 580,750 in the same period of 2009.

Aggregate table reflecting oil processing and oil products production in January 2010:

b) Realization

The State Statistics Committee reported that approximately 233,000 tons of oil products were sold to the internal market of Azerbaijan in January 2010, compared to about 354,000 tons in January 2009.

Some 74,800 tons of the total volume of oil products was petrol, which is an increase of 9 percent than in January 2009. The wholesale price for one ton of А-92 gasoline in the internal market (VAT and transportation costs inclusive) is 670 manats and А-95 - 736 manats. According to the State Statistics Committee, Azpetrol received over 37,100 tons of gasoline, SOCAR Petroleum- 12,300 tons and LUKoil - around 12,000 tons.

In January 2010, 52,300 tons of diesel fuel was sold to the domestic market, which is by 3.4 percent more compared to January 2009. The wholesale cost of 1 ton of diesel fuel (VAT and transportation costs inclusive) is 485 manats. Azpetrol received roughly 14,800 tons of diesel fuel, SOCAR Petroleum- about 4,550 tons and LUKoil - roughly 6,700 tons, the state statistics committee reported. The Azerbaijani State Caspian Sea Shipping Company purchased 1,000 tons of diesel fuel.

During the report period, 7,900 tons of fuel oil was sold to the domestic market, which is 93.6 percent less than the figure in January 2009. The wholesale price of 1 ton of М-40 fuel oil in Azerbaijan is 100 manats (including delivery and VAT). According to the state statistics committee, Nakhchivan Oil and Gas received over 2,950 tons of fuel oil.

A total of 38,300 tons of aviation kerosene was sold in this period, 49.6 percent more than in January 2009. The price of aviation kerosene is 307 manats per ton (including delivery and VAT). Almost all the amount of aviation kerosene was sent to the AZAL.  

The sale of petroleum bitumen totaled 9,600 tons, a decrease of 12.7 percent from January 2009. The wholesale price of 1 ton of bitumen BN 60/90 (VAT and transportation costs inclusive) is 160 manats.

In January 2010, some 4,900 tons of LPG was sold to the interior market, which is by 51 percent less than the figure of January 2009.

The other more than 45,200 tons of oil products were also sold, less by 28.1 percent than in January 2009.

2. Chemical complex

In January, Azerkimya state-owned company (production of chemical products) produced 1.2 million cubic meters of nitrogen which is 20 percent more than the figure in 2009, Azerbaijan State Statistics Committee said.

In January, there was a significant increase on all the main kinds of chemical products produced by state company.

Production of major types of chemical products in January is as follows:

3. Power engineering

In January, Azerenerji (Azerbaijan's largest energy producer) generated roughly 1.9 billion kilowatt hour of energy.

Thermoelectric power stations accounted for 1.6 billion kilowatt hour and hydro power stations 0.3 billion.

Also the planned transfer of power from Russia, Iran, Turkey and Georgia continued in January.