Aliyev calls to boost exports amid growing energy output
Azerbaijani President Ilham Aliyev said Tuesday that
ramping up domestic production of energy resources requires
expanding the country’s export potential.
"Presently, our production exceeds our export capacities three-fold, and we have to access new markets or expand the volumes of available markets, in order to balance our export potential with output," President Aliyev told the opening of an oil and gas exhibition that draws energy majors to Baku every year.
"52 million tons of oil and 30 billion cubic meters of gas will be produced in Azerbaijan this year, which allows us to ramp up exports," Aliyev said.
The president noted that gas resources have been increasingly gaining significance in the world, and, accordingly, this boosts the importance of such countries as Azerbaijan, which possesses considerable oil and gas reserves.
"Today, Azerbaijan does not depend on any specific facet of exports and has already ensured its energy security," he said.
Aliyev pointed out that, with the signing of the remarkable Production Sharing Agreement known as "the Contract of the Century", in 1994, Azerbaijan not only opened up its doors to foreign investors, but also paved the way for its future development. Owing to its vast oil resources, Azerbaijan, itself, is investing abroad, and Azerbaijan’s state oil company SOCAR has turned into one of the world’s leading companies.
According to the president, the Azerbaijani economy is not so heavily reliant on oil any more, though the oil factor will continue to play a crucial role in the country’s development for a long time, including in non-oil economy growth.
Aliyev said perfect conditions have been provided in Azerbaijan for investments. According to him, investments in the South Caucasus republic have reached a staggering $82 billion since 1995, with half of these funds channeled into the non-oil sector. An additional $20 billion will flow into the national economy in the coming years with the start of Phase 2 of developing the giant Shahdaniz field in the Azerbaijan sector of the Caspian Sea.
US Secretary of State Hillary Clinton said in a message read out at the opening of the Baku exhibition by US Special Envoy for Eurasian Energy, Richard Morningstar, that the development of Azerbaijan's oil sector has bolstered the country’s independence. "The United States supports Azerbaijan's efforts in providing energy security and is looking forward to the development of the South Caucasus energy corridor for energy supplies to Europe," Clinton’s message said.
UAE’s Minister of Energy, Mohamed bin Dhaen Al Hamli, said circulating reports about the depletion of the world’s hydrocarbon resources in the foreseeable future have no merit. He said the oil reserves discovered in the world so far will suffice for the next 40 years, while the available natural gas reserves will be sufficient for 60 years, according to projections. Moreover, new prospective oil and gas fields may be discovered in the future.
Al Hamli also said OPEC expects that by 2030, world demand for hydrocarbons will increase 42% in comparison with 2007. Whereas global oil production was at the level of 84 million barrels per day in 2008, the figure is predicted to nearly double to 160m bpd by 2020.
The four-day 17th Caspian oil and gas exhibition is taking place in the newly built Baku Expo Center. Organized by British ITE Group PLC and Iteca Caspian, the company’s partner in the South Caucasus region, the event has brought together 280 companies from 26 countries. The new venue provides excellent facilities and scope for expansion with Caspian Oil & Gas 2010 already growing by 15% compared to the previous event in 2009. The exhibition features some of the biggest names in the industry as well as many more who will be entering the market for the first time. Exhibitors include: Itochu, OMV Gas International GmbH, SOCAR, Statoil, Total, and TPAO. Among the other exhibitors are national group stands from the UK, UAE, China and Russia.
Simultaneously with the exhibition, a Caspian oil and gas conference will be held in Baku on Wednesday and Thursday.
"Presently, our production exceeds our export capacities three-fold, and we have to access new markets or expand the volumes of available markets, in order to balance our export potential with output," President Aliyev told the opening of an oil and gas exhibition that draws energy majors to Baku every year.
"52 million tons of oil and 30 billion cubic meters of gas will be produced in Azerbaijan this year, which allows us to ramp up exports," Aliyev said.
The president noted that gas resources have been increasingly gaining significance in the world, and, accordingly, this boosts the importance of such countries as Azerbaijan, which possesses considerable oil and gas reserves.
"Today, Azerbaijan does not depend on any specific facet of exports and has already ensured its energy security," he said.
Aliyev pointed out that, with the signing of the remarkable Production Sharing Agreement known as "the Contract of the Century", in 1994, Azerbaijan not only opened up its doors to foreign investors, but also paved the way for its future development. Owing to its vast oil resources, Azerbaijan, itself, is investing abroad, and Azerbaijan’s state oil company SOCAR has turned into one of the world’s leading companies.
According to the president, the Azerbaijani economy is not so heavily reliant on oil any more, though the oil factor will continue to play a crucial role in the country’s development for a long time, including in non-oil economy growth.
Aliyev said perfect conditions have been provided in Azerbaijan for investments. According to him, investments in the South Caucasus republic have reached a staggering $82 billion since 1995, with half of these funds channeled into the non-oil sector. An additional $20 billion will flow into the national economy in the coming years with the start of Phase 2 of developing the giant Shahdaniz field in the Azerbaijan sector of the Caspian Sea.
US Secretary of State Hillary Clinton said in a message read out at the opening of the Baku exhibition by US Special Envoy for Eurasian Energy, Richard Morningstar, that the development of Azerbaijan's oil sector has bolstered the country’s independence. "The United States supports Azerbaijan's efforts in providing energy security and is looking forward to the development of the South Caucasus energy corridor for energy supplies to Europe," Clinton’s message said.
UAE’s Minister of Energy, Mohamed bin Dhaen Al Hamli, said circulating reports about the depletion of the world’s hydrocarbon resources in the foreseeable future have no merit. He said the oil reserves discovered in the world so far will suffice for the next 40 years, while the available natural gas reserves will be sufficient for 60 years, according to projections. Moreover, new prospective oil and gas fields may be discovered in the future.
Al Hamli also said OPEC expects that by 2030, world demand for hydrocarbons will increase 42% in comparison with 2007. Whereas global oil production was at the level of 84 million barrels per day in 2008, the figure is predicted to nearly double to 160m bpd by 2020.
The four-day 17th Caspian oil and gas exhibition is taking place in the newly built Baku Expo Center. Organized by British ITE Group PLC and Iteca Caspian, the company’s partner in the South Caucasus region, the event has brought together 280 companies from 26 countries. The new venue provides excellent facilities and scope for expansion with Caspian Oil & Gas 2010 already growing by 15% compared to the previous event in 2009. The exhibition features some of the biggest names in the industry as well as many more who will be entering the market for the first time. Exhibitors include: Itochu, OMV Gas International GmbH, SOCAR, Statoil, Total, and TPAO. Among the other exhibitors are national group stands from the UK, UAE, China and Russia.
Simultaneously with the exhibition, a Caspian oil and gas conference will be held in Baku on Wednesday and Thursday.
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