Azeri-Chirag-Guneshli total production hits 132m barrels in Jan-Sep 2020

18 November 2020 13:22 (UTC+04:00)

By Ayya Lmahamad

The total production at the Azeri-Chirag-Guneshli (ACG) block of fields amounted to 132 million barrels during the three quarters of 2020, BP Azerbaijan has reported.

During the reported period, the total production on the block of fields was on average about 482,000 barrels per day. Of this, the Chirag field accounted for 36,000 b/d, Central Azeri for 115,000 b/d, West Azeri for 118,000 b/d, East Azeri for 64,000 b/d, Deepwater Gunashli for 97,000 b/d and West Chirag for 52,000 b/d.

It should be noted that at the end of the quarter, 124 wells were producing oil, while 39 wells were used for water and 7 for gas injection. In addition, during the first three quarters of the year, ACG completed 10 oil producer and 2 injector wells.

Moreover, during the reported period, ACG delivered an average of 1.6 million cubic metres of ACG associated gas to SOCAR, primarily at the Sangachal Terminal, and to SOCAR’s Oil Rocks facility.

Likewise, the company spent about $399 million in operating expenditure and about $1.3 billion in capital expenditure on the ACG activities, in the first three quarters of 2020.

Additionally, total oil production from the ACG block of fields since the start of its operations has reached more than 3.8 billion barrels.

Furthermore, in the first nine months of 2020, the Shah Deniz field produced around 13.3 billion cubic metres of gas and 2.7 million tonnes of condensate.

It should be noted that the existing Shah Deniz facilities’ production capacity is currently over 56 million cubic metres of gas per day. Moreover, it was noted that during the reported period, the Shah Deniz field continued to provide deliveries of gas to markets in Azerbaijan, Georgia, Turkey and to BTC Company in multiple locations.

Likewise, in the first three quarters of the year, $620 million were spent in operating expenditure and $719 million in capital expenditure, the majority of which was associated with the Shah Deniz 2 project.

Additionally, Shah Deniz has produced more than 130 billion cubic metres of gas and more than 31 million tonnes of condensate since the start of its operations.

BP first arrived in Azerbaijan and opened its first office in Baku in June 1992. Over the past years, in partnership with the Azerbaijani government and its co-venturers, the BP-operated world-class projects such as Azeri-Chirag-Gunashli (ACG), Shah Deniz, Baku-Tbilisi-Ceyhan (BTC) and South Caucasus Pipeline (SCP) have contributed to the development of the Caspian Sea as a modern hydrocarbon province.

The contract for the development of the ACG oil fields was signed on September 20, 1994, and entered force in December. The contract for the development of the ACG block was extended to 2050 in September 2017.

The shareholders in the ACG project are BP (operator, 30.37 percent), SOCAR (25 percent), American Chevron (9.57 percent), ExxonMobil (6.79 percent), Indian ONGC (2.31 percent), Japanese Inpex Corp. (9.31 percent), ITOCHU Oil (3.65 percent), Norwegian Statoil (7.27 percent) and Turkish TPAO (5.73 percent).

The contract on the development of the Shah Deniz gas field was signed in 1996. Shareholders of Shah Deniz project are: BP (operator, 28.8 percent), TPAO (19 percent), SOCAR (16.7 percent), Petronas (15.5 percent), LUKOIL (10 percent) and NICO (10 percent).

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Ayya Lmahamad is AzerNews’ staff journalist, follow her on Twitter: @AyyaLmahamad

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