Azernews.Az

By Aynur Jafarova

Azerbaijani President Ilham Aliyev and First Lady Mehriban Aliyeva attended the opening ceremony of a major international Caspian oil and gas exhibition that started in Baku on June 4.

Addressing the opening ceremony, President Aliyev said the 20th anniversary of Caspian Oil & Gas exhibition is a great historical event.

"Though around 20 years have passed, the exhibition has not lost its relevance. Its importance has increased even more," he said.

President Aliyev said further, "Although major oil and gas contracts have been signed and foreign companies have been successfully working in Azerbaijan for many years, the significance of the exhibition is growing. Indeed, the congratulatory letters of the US President and British Prime Minister traditionally sent to the participants of the exhibition prove once again the significance of this exhibition."

According to President Aliyev, Azerbaijan has covered a long road over two decades and has achieved great success in the energy sector.

"We were at the initial stage of the work twenty years ago. The exhibition had much support and played a great role in the development of the Azerbaijani oil and gas sector," Aliyev said.

The President went on to say that Azerbaijan has successfully resolved all main energy issues, ensured independence of the economy and strengthened its independence, which is the result of this strategy.

"Azerbaijan is a wonderful place for international cooperation," he said. "We have precise, specific plans for the coming years, whereas 20 years ago there were only programs and intentions for Azerbaijan's development.

"I would like to stress that Azerbaijan was the first country to discover the Caspian Sea for joint development with foreign companies," the President said.

"The transport infrastructure connecting the Caspian Sea with the Black Sea and the Mediterranean was created for the first time. This gave an impetus to the successful development of other projects."

President Aliyev said that a revival of other sectors of the economy started in Azerbaijan as a result of the implementation of the Contract of the Century, referring to the agreement signed in 1994 with major oil companies of the world to tap the country's resource-rich energy fields.

"A wonderful investment climate has been created. Today Azerbaijan ranks first in the CIS in terms of foreign direct investments. We have managed to turn the oil capital into human capital and to direct the revenues from the oil sector to the non-oil sector development," he said.

President Aliyev also noted that the contract on the development of Azerbaijani gas condensate field Shah Deniz was signed during an exhibition in 1996.

"At the time, the signing of the contract on Shah Deniz field didn't cause great resonance in the world. But we knew that a time will come when Azerbaijan will be known in the world not only as an oil country, but as a gas country as well. We knew that the country has very rich gas deposits. We also knew that the long-term and sustainable development of the country will be ensured as a result of development of these fields."

The President said Shah Deniz gas field has a decisive impact on the energy security of the region.

"It is impossible to imagine the energy security of the region today without Shah Deniz project, because while speaking of energy security, we mean primarily natural gas," he said.

Aliyev said that the implementation of Shah Deniz project was achieved owing to the routes and successful trilateral cooperation of Azerbaijan, Georgia and Turkey.

The President also spoke about the importance of the Trans-Anatolian gas pipeline project (TANAP).

"At this exhibition, I particularly want to stress launching of the implementation of the Trans-Anatolian gas pipeline project as the most important event of 2012," he said, adding that the project has historic significance.

Being the largest oil and gas event in the Caspian region, the International Caspian Oil & Gas Exhibition Incorporating Refining and Petrochemicals takes place in the Baku Expo Center from June 4-7, marking its 20th anniversary. The adjoining Caspian Oil & Gas Conference will be held on June 5-6 at the Jumeirah Bilgah Beach Hotel.

The event has attracted the attention of world leaders to Azerbaijan.

A letter from US President Barack Obama, which was read out by US Ambassador Richard Morningstar, says that huge investments will help Azerbaijan's resources to access international markets in the coming years and stabilize global energy supply, which will assist Azerbaijan in bolstering its independence and economic development.

"The strong relationship between Azerbaijan and its international partners resulted in major energy projects and turned Azerbaijan into an important oil supplier to world markets and a significant source of gas for the region," Obama wrote.

The US President expressed hope that implementation of the second phase of the Shah Deniz gas project and the planned Trans-Anatolian gas pipeline (TANAP) would draw Azerbaijan closer to becoming a major gas supplier to Europe as well.

Moreover, Azerbaijan's oil wealth has a potential to support the development of the diversified economy, strengthening the rule of law, and increase the living standards of the Azerbaijani people, the letter said.

Obama also noted that the U.S. is a committed partner of Azerbaijan. "And I look forward to many years of cooperation (with Azerbaijan)," he said.

British Prime Minister David Cameron said in his message that Azerbaijan's energy resources will increasingly play a vital role in the European and world economy in the years to come.

"2013 will be an important year for the realization of the Southern Gas Corridor project with the continued development of the world-class Shah Deniz field and a number of key decisions being made on the final pipeline route to Europe," Cameron said.

However, according to him, much work remains to be done to realize in full the ambition of the Southern Gas Corridor as the route for the Central Asian gas to Europe. "And I am confident that this ambition will come to reality," he said.

The prime minister congratulated President Ilham Aliyev and the people of Azerbaijan on the occasion of the 20th international oil and gas exhibition and welcomed the continued strong bilateral relationship between the two countries.

President Aliyev and Mrs. Mehriban Aliyeva viewed the pavilions of the exhibition.

The exhibition brings together 386 companies from 28 countries, including oil and gas field developers and service providers. It is based in three pavilions of the Baku Expo Center and outdoor space next to the complex. Germany, China, Russia, Turkey and the UK present national groups.

Celebrating its 20th anniversary, Caspian Oil & Gas continues to be the largest and best-attended oil and gas event in Azerbaijan and the Caspian region. The event is held annually under the patronage of the President of Azerbaijan and is officially supported by Azerbaijani Ministry of Industry and Energy and the state oil company SOCAR.

According to Minister of Industry and Energy Natig Aliyev, Caspian Oil & Gas is the most significant event in the region. "Every year, we attend this specialized event and invite our partners - those who we had initiated the oil strategy with, those who continue implementing and developing it today, and those who hope to take part in regional and transcontinental projects which Azerbaijan is going to carry out in the future," Aliyev said.