By Mirsaid Ibrahimzade
Russia’s company LUKOIL intends to expand its presence in Azerbaijan, Head of the company Vagit Alekperov told reporters March 18 on the sidelines of the 13th meeting of the OPEC/non-OPEC Joint Ministerial Monitoring Committee (JMMC) in Baku, Trend reports.
He said that there are all investment conditions in this region, therefore LUKOIL intends to expand its presence in Azerbaijan.
He noted that the company is interested in participating in such projects as “Umid-Babek” and “Absheron” in Azerbaijan.
Azerbaijan’s state oil company SOCAR and Total signed a framework agreement in 2016 on the main contractual and commercial principles regulating the first phase of development of the Absheron field.
The first phase of the field’s development envisaged drilling one well at a sea depth of 450 meters. The production will stand at 1.5 billion cubic meters of gas and 700,000 tons of condensate per year and these volumes will be used in Azerbaijan’s domestic market. It is planned to produce up to 4 billion cubic meters of gas at the second stage.
Absheron’s reserves are estimated at 326 billion cubic meters of gas and 108 million tons of condensate, according to estimations of the Total specialists.
According to SOCAR and the results of drilling the first exploration well, the field’s reserves are estimated at more than 200 billion cubic meters of gas and 40 million tons of condensate. The Umid field is located 75 kilometers from Baku, 40 kilometers from the coast.
According to preliminary data, Babek’s prospective structure’s reserves may amount to 400 billion cubic meters of gas and 80 million tons of condensate.
The 13th meeting of the OPEC/non-OPEC Joint Ministerial Monitoring Committee (JMMC) was held in Baku March 18. A day before the JMMC meeting, Baku hosted the 27th meeting of the Joint Technical Commission.
The meeting participants discussed the current state of the oil market, existing problems and other issues.
The event then featured a presentation on the pace of oil market development, and the report of the Joint Technical Commission on production figures for February.
The PJSC Lukoil Oil Company is a Russian multinational energy corporation headquartered in Moscow, specializing in the business of extraction, production, transport, and sale of petroleum, natural gas, and petroleum products.
PJSC “LUKOIL-Azerbaijan” operates in the country since 1993. The company manages 58 petrol stations and an oil depot, which ensures transfer of 320,000 tons of oil per year. This helped LUKOIL to become a reliable supplier of diesel fuel and gasoline motor fuel, as well as lubricants to international and Azerbaijani companies operating in the local market.
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