Azernews.Az

By Aynur Jafarova

Azerbaijan's state oil fund SOFAZ has made $107.254 billion of profit in a 13-year period from 2001 to October 1, 2014 by implementing the project of developing the giant Azeri-Chirag-Gunashli (ACG) block of oil and gas fields in the Azerbaijani sector of the Caspian Sea.

"The fund received $12.222 billion from January to October 1, 2014 within the framework of ACG project," SOFAZ told Trend Agency on October 10.

The ACG block of fields has been active since 1997. Production first started at the Chirag part of the block. It was followed successfully by Azeri Project; Central Azeri in February 2005, West Azeri in December 2005, and East Azeri in October 2006.

The Deepwater Gunashli section launched production in April 2008.

SOFAZ also said it gained $2.006 billion of profit from 2007 to October 1, 2014 by implementing the development project of the giant Shah Deniz gas condensate field in the Caspian Sea.

SOFAZ earned some $409 million as part of the Shah Deniz project from January 1, 2014 to October 1, 2014.

The Shah Deniz field, one of the world's largest gas-condensate fields, was discovered in 1999. Its gas reserves are estimated at 1.2 trillion cubic meters. Overall, the field has proved to be a secure and reliable supplier of gas to Azerbaijan, Georgia, Turkey, and Europe.

SOFAZ, an entity that accumulates and manages Azerbaijan's oil and gas revenues, was established in 1999 with assets worth $271 million.

The main aims of the fund include, accumulation of revenues, investment of assets abroad to minimize negative impacts on economy, preventing the 'Dutch disease', ensuring savings for future generations, and maintaining the current social and economic standards in the country.

The assets of SOFAZ increased by 4.86 percent as of July 1, 2014 compared to early 2014 reaching to over $37.622 billion.

Since the first quarter of 2012, the fund started purchasing gold, and the amount of the purchased gold reached to 30 tons 175 kg (970,146 ounces) as of April 1.