OPEC forecasts fall for Azerbaijan's daily oil supply

By AzerNews

The Organization of the Petroleum Exporting Countries (OPEC) forecasts Azerbaijan's oil supply to decline by 30,000 barrels per day (bpd) in 2013 to average 0.87 million bpd.

In its Monthly Oil-Market Report for November, OPEC said that an upward revision of 10,000 bpd from the previous month was introduced to third quarter oil supply as Azerbaijani oil production data indicated higher output than previously expected.

"During the first three quarters of 2013, Azerbaijan's oil supply dropped by 50,000 bpd, compared to the same period a year earlier. The decline came on the back of maintenance and shutdown," the report said.

On a quarterly basis, Azerbaijan's oil output in 2013 is expected to stand at 0.87 million bpd, 0.87 million bpd, 0.89 million bpd and 0.85 million bpd, respectively.

According to OPEC, Azerbaijan, with largest hydrocarbon basins located offshore in the Caspian Sea, has witnessed a strong decline in production after a decade of strong growth that lifted total liquids output to 1.07 million bpd in 2010.

Crude oil and NGLs production in the country is projected to decline by 50,000 bpd in 2013, then expand again to reach about 1 million bpd in 2015, before staying almost flat over the projection period to 2018, OPEC said.

Azerbaijan's proven oil reserves amounted to 7 billion barrels as of early 2012.

The main volume of oil produced in Azerbaijan falls on Azeri-Chirag-Guneshli offshore fields block. This block produces Azeri Light oil with a sulfur content of 0.15 percent (35 degrees API).