BP and SOCAR sign MOU to explore new Caspian acreage
BP and Azerbaijan`s state oil company, SOCAR, signed
a memorandum of understanding (MOU) on Monday to jointly explore
and develop the Shafag and Asiman sites in the Azerbaijan sector of
the Caspian Sea, the oil giant announced.
As part of the government`s plan to ensure that all of Azerbaijan`s offshore waters are fully exploited, this MOU gives BP the exclusive right to negotiate a production sharing agreement to explore and develop the block, which lies some 125 kilometers (78 miles) to the southeast of Baku.
The MOU was signed in London, in the presence of President Ilham Aliyev and UK Prime Minister Gordon Brown, by Rovnag Abdullayev, President of SOCAR, and Andy Inglis, BP`s CEO of Exploration and Production.
The block covers an area of some 1,100 square kilometers and has never been explored before. It is located in a deepwater section of about 650-800 meters with a reservoir depth of about 7,000 meters.
BP Azerbaijan, the top foreign investor in the country`s oil and gas sector, runs the projects on developing the major Azeri-Chirag-Gunashli (ACG) oilfields and the country`s largest gas-condensate field, Shahdaniz, in the Caspian Sea. The company also operates the Baku-Tbilisi-Ceyhan (BTC) main export pipeline, which transports Azerbaijan`s crude to world markets through Georgia and Turkey.
As part of the government`s plan to ensure that all of Azerbaijan`s offshore waters are fully exploited, this MOU gives BP the exclusive right to negotiate a production sharing agreement to explore and develop the block, which lies some 125 kilometers (78 miles) to the southeast of Baku.
The MOU was signed in London, in the presence of President Ilham Aliyev and UK Prime Minister Gordon Brown, by Rovnag Abdullayev, President of SOCAR, and Andy Inglis, BP`s CEO of Exploration and Production.
The block covers an area of some 1,100 square kilometers and has never been explored before. It is located in a deepwater section of about 650-800 meters with a reservoir depth of about 7,000 meters.
BP Azerbaijan, the top foreign investor in the country`s oil and gas sector, runs the projects on developing the major Azeri-Chirag-Gunashli (ACG) oilfields and the country`s largest gas-condensate field, Shahdaniz, in the Caspian Sea. The company also operates the Baku-Tbilisi-Ceyhan (BTC) main export pipeline, which transports Azerbaijan`s crude to world markets through Georgia and Turkey.
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