BAKU / Trend

BP and its partners invested $ 28 billion in the development of a giant gas field in Azerbaijan (Shah Deniz gas condensate field), and this can only be the beginning of a story.

According to Trend, this was reported by Bloomberg, regional president of BP for Azerbaijan, Georgia and Turkey, Gary Jones.

According to him, the company intends to drill six new exploration wells in the country by 2020.

If his expectations are met, the company may discover a new gas field with reserves approximately equal to Shah Deniz, the report said.

“Along with Brazil, Azerbaijan is one of our priorities for the next few years. For us, this exploration program is very important, because we see great potential in the Caspian, ”said Jones.

According to him, gas reserves in the Shafag-Asiman structure, where BP intends to drill wells this year, may be equal to the Shah Deniz-2 field. He added that the drilling on the structure is scheduled for the end of 2019.

It should be noted that Shah Deniz-2 is the starting point of the new Southern Gas Corridor, through which Caspian gas will first enter the European market. In the framework of the second stage of development, the field will produce an additional 16 billion cubic meters of gas per year. Of these, six billion will be delivered to Turkey, and 10 billion - to Europe. During the peak period, gas production from the Shah Deniz field will reach 26 billion cubic meters of gas per year and 120,000 barrels per day.

The contract for the development of the offshore Shah Deniz field was signed on June 4, 1996.

In accordance with the documents signed on December 17, 2013 in Baku, the contract for the development of Shah Deniz was extended from 2036 to 2048, and the share of SOCAR and BP (project operator) in the project increased to 16.7 percent and 28.8 percent, respectively.
Share distribution among the parties to the agreement: BP - operator (28.8 percent), AzSD (10 percent), SGC Upstream (6.7 percent), Petronas (15.5 percent), Lukoil (10 percent), NICO (10 percent) and TPAO (19 percent).

Proved reserves of the field are 1.2 trillion cubic meters of gas and 240 million tons of condensate.

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