1. FEC
а) Oil and gas production
According to the Azerbaijani State Statistics Committee, in the first half of the year, Azerbaijan produced 22.16 million tons of crude oil and condensate, which is 6.8 percent less than production in the first half of 2011.
In 2011 the country produced 45.37 million tons of oil compared to 50.83 million tons in 2010.
The bulk of oil production in Jan.-June accounted for the block of "Azeri-Chirag-Guneshli" oil and gas fields and "Shah Deniz" gas-condensate field, which are developed jointly with foreign partners.
Gas production in Jan.-June in Azerbaijan was about 8.84 billion cubic meters, which is 8.2 percent more than in the same period of 2011.
About 26 billion cubic meters of gas were produced in the country in 2011 compared to 26.23 billion cubic meters in 2010.
Projected gas reserves in Azerbaijan are estimated at 10 billion tons of oil equivalent, first vice-president of SOCAR Khoshbakht Yusifzade said in Baku during the international conference "The potential for hydrocarbons at great depths: the future of energy resources - a reality, and Forecast." He noted that Projected gas reserves of Azerbaijan is estimated at six trillion cubic meters and projected oil reserves - four billion tons. In turn, the country's proven gas reserves are estimated at 2.55 trillion cubic meters, gas reserves - two billion tons.
As part of the construction of a platform and other infrastructure for the Chirag oil project (an increase in oil production on block of the Azeri-Chirag-Guneshli Azerbaijani fields), estimated at $ 4 billion, about 70 percent of the work has been completed, BP (operator of the project). The total cost of this project is estimated at $ 6 billion, of which $ 4 billion falls to construction work and $ 2 billion - for drilling.
The Geophysics and Geology Department under SOCAR conducted sonar work to the volume of 782.6 kilometres of the drilling of the first exploratory well in the prospective Goshadash structure, as well as in the area of two platforms and a compressor station on the field Oil Rocks. Operations were conducted on the Hovsan-Deniz and Zig sites.
State Oil Company of Azerbaijan (SOCAR) has mastered a second well on the field Umid in the Azerbaijani sector of Caspian Sea. Daily production rate of the well is 1.2 million cubic meters of gas and 150 tons of condensate.
Operations were carried out to process data obtained during the three-dimensional geophysical studies on the prospective structure of Babak in the Azerbaijani sector of the Caspian Sea on June.
The structure at Babek is located not far from the Umid field. SOCAR has repeatedly stated that it was going to carry out work on the structure independently. Estimated reserves of the Babak structure stand at 400 billion cubic meters of gas and 80 million tons of condensate.
SOCAR has commissioned two oil wells and one gas well on the offshore field "Oil Rocks" in the Azerbaijani sector of the Caspian Sea. According to the report, the gas well with a daily output of 100,000 cubic meters was commissioned on the offshore platform "Oil Rocks-2521". An oil well with daily output of 15 tons was put into operation from this platform. The second oil well with daily output of 14 tons was put into operation from the platform "Oil Rocks-2415".
b) Refinery
In Jan.-June, Azerbaijan produced 603,000 tons of petrol, which is 3.2 percent more than in 2011, the state statistics committee said.
Azerbaijan produced 1.9 million tons of main kinds of oil products in Jan.-June.
The table reflecting production of oil products in Azerbaijan:
|
Oil products |
Jan.-June 2012 |
Jan.-June 2011 (%) |
|
Petrol |
603 |
103,2 |
|
Naphtha |
98,4 |
84,3 |
|
Kerosene |
313,4 |
106,6 |
|
Diesel fuel |
1 124,4 |
96,2 |
|
Lubricants |
34 |
80,4 |
|
Oil bitumen |
137 |
123,1 |
The State Oil Company of Azerbaijan (SOCAR) is planning to refine 6.3 million tons of oil in 2012, which is practically similarly to the figure of last year, a senior representative of SOCAR said. The volume of the oil will amount to 6 million ton after the refining, he said. With regard to the depth of processing, the representative of SOCAR said that it should reach 93 percent according to the forecast, while this figure stands at 92.6 percent at present.
c) Sale
According to the State Statistics Committee, about 2.3 million tons of oil products were delivered to the Azerbaijani domestic market in Jan.-June or 13.2 percent (2.02 million tons) more than in Jan.-June 2011.
About 585,2 thousand tons of the total volume of oil products fell to petrol. Most petrol was sold on the domestic market.
Petrol was sold by 9.3 percent more during this period than in Jan.-June 2011. The wholesale cost of one ton of A-92 petrol (including delivery and VAT) is 670 manat, A-95 petrol - 736 manat in the Azerbaijani domestic market.
About 585,5 tons of diesel fuel were sold in the domestic market in Jan.-May, or 15.7 percent more than in Jan.-June 2011. The wholesale cost of one ton of diesel fuel (including delivery and VAT) is 485 manat in the Azerbaijani domestic market.
About 181,6 thousand tons of fuel oil were sold on the domestic market in Jan.-June, or 52.5 percent more than in Jan.-June 2011.
About 242,6 thousand tons of aviation kerosene were sold or 4.6 percent less than in Jan.-June 2011. The wholesale cost of one ton of aviation kerosene (including delivery and VAT) is 307 manat in the Azerbaijani domestic market.
About 125,1 thousand tons of oil bitumen were sold in the domestic market, or 32.9 percent more than in Jan.-June 2011. The wholesale cost of one ton of BN 60/90 bitumen (including delivery and VAT) is 160 manat in the Azerbaijani domestic market.
About 65,5 thousand tons of liquefied gas (LPG) were sold on the domestic market in Jan.-June, or 8.3 percent less than in Jan.-June 2011.
2. Chemical complex
According to the Azerbaijani State Statistics Committee, SOCAR's Azerkimya production association (production of chemical products) produced 46,6 thousand tons of propylene in Jan.-June, or 4.7 percent more than in January-June 2011.
There was an increase virtually in all major types of chemical products produced by the production association in Jan.-June.
Production of basic chemical products:
|
Products |
Jan.-June 2012 |
Jan.-June 2011 (%) |
|
Sulfuric acid (thousands tons) |
0,9 |
11,7 |
|
Polyethylene (thousands tons) |
46,6 |
104,7 |
|
Propylene (thousands tons) |
19,4 |
158,6 |
|
Isopropyl alcohol (thousands tons) |
5,6 |
65,8 |
|
Paintwork material (tons) |
1504,4 |
116,9 |
|
Caustic soda ( liquid in tons ) |
85,9 |
1,6 |
About 15,66 thousand tons of solid polyethylene pipes, tubes, hoses were produced in Jan.- June or 4.7 percent more than in the same period of 2011. About 281 tons of porous polyurethane plates and strips were produced or 3.3 times more than in Jan.-June 2011.
State Oil Company of Azerbaijan (SOCAR) has commissioned a complex for transshipment of propylene, located in Kulevi oil terminal of SOCAR. The project of the new complex was prepared by the institute Neftgazelmitedgigatlayihe. The facility includes compressors, transformers, nitric station and pier to supply polypropylene.
Production at the terminal will be loaded directly from rail tank cars to gas tankers.
3. Electricity
Azerbaijan produced 10.63 billion kilowatt-hours of electricity in Jan.-June or 10.5 percent more than in the same period of 2011.
More than 20 billion kilowatt / hours of electricity were produced in the republic in 2011, or 8.4 percent more than in 2010.
In the first half-year Azerbaijan Thermal Power Plant (TPP) generated 1.5 billion kilowatt-hours of electricity, Azerenergy (electricity generation and distribution in Azerbaijan) said. According to the report, in June, the power plant generated 521.7 million kilowatt hours of electricity. Azerbaijan TPP is the most powerful energy company in the South Caucasus region. The power plant consists of eight units with capacity of 300 megawatts each.