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Akbar Novruz

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The “Contract of the Century,” signed on September 20, 1994, laid the foundation for a new stage in Azerbaijan’s modern economic history, Azerbaijan’s Minister of Economy Mikayil Jabbarov said in a post on his X account.

“The ‘Contract of the Century,’ signed on September 20, 1994, laid the foundation for a new stage in Azerbaijan’s modern economic history. The agreement provided significant impetus for the efficient use of our country’s energy potential and the expansion of cooperation with foreign partners and investment opportunities. The strategic course defined by the architect of this historic decision, National Leader Heydar Aliyev, is being continued under the leadership of President Ilham Aliyev in a manner aligned with new challenges,” the post stated.

Today marks the 32nd anniversary of the signing of the “Contract of the Century.”

Within the framework of the development of the Azeri-Chirag-Gunashli (ACG) field complex, one of the key projects in Azerbaijan’s oil and gas sector, more than 628 million tons of oil and 253 billion cubic meters of gas had been produced as of September 1, 2026.

According to reports, a 30-year agreement on the joint development and production sharing of the ACG fields was signed on September 20, 1994, involving 11 international oil companies from seven countries. An initial target was set to produce 500 million tons of oil from the ACG field.

On September 14, 2017, the ACG agreement was amended and restated, and a new production sharing agreement was signed.

Under the renewed agreement, the development period for ACG was extended until the end of 2050. At the same time, SOCAR’s participating interest was increased from 11.65 percent to 25 percent, while Azerbaijan’s share of profit oil was set at 75 percent.

On April 19, 2019, the final investment decision for the “Azeri Central East” (ACE) project was adopted. First oil from the ACE platform was produced on April 16, 2024. The project aims to produce 300 million barrels of oil over its operational lifespan.

An agreement on the production of non-associated natural gas from ACG was signed on September 20, 2024. Production of non-associated natural gas at ACG commenced on June 1, 2026.

Currently, participating interests in ACG are held as follows: SOCAR - 35.30%, BP - 30.37%, MOL Group - 9.57%, INPEX - 9.31%, ExxonMobil - 6.79%, TPAO - 5.73%, and ONGC Videsh - 2.92%.