SOCAR announces plans to implement Shah Deniz-2 project

Most part of the construction and installation work within the second phase of development of Shah Deniz gas condensate field in the Azerbaijani sector of the Caspian Sea will be carried out in Azerbaijan, the article of the head of SOCAR (State Oil Company of Azerbaijan) Rovnag Abdullayev said, published May 5 in the official press.

“This will greatly enhance the production capacity and the construction potential of the country,” said the article. “By 2018, two platforms should be established on the field, underwater pipelines laid, technological areas of Sangachal terminal increased.”

Technical and technological reconstruction work will be held with this purpose on construction and installation sites of Baku, according to Abdullayev.

“Technical and functional capabilities of several vessels will be increased, Istiglal and Dede Gorgud rigs improved,” said the article. “A new unique multisectoral vessel for underwater construction work will be built at the Baku Shipyard. Shah Deniz-2 project and the expansion of the South Caucasus gas pipeline will create more than 10,000 jobs in Azerbaijan.”

The contract for development of the Shah Deniz offshore field was signed on June 4, 1996. The field’s reserve is estimated at 1.2 trillion cubic meters of gas.

The volume of gas produced at Shah Deniz field stood at 9.9 billion cubic meters in 2014, while the volume of condensate production at this field totaled 2.3 million metric tons (18.7 million barrels), compared to 9.8 billion cubic meters of gas and 2.48 million metric tons of condensate (19.6 million barrels) in 2013.

The shareholders as part of the contract are: BP, operator (28.8 percent), AzSD (10 percent), SGC Upstream (6.7 percent), Statoil (15.5 percent), Lukoil (10 percent), NICO (10 percent) and TPAO (19 percent).

/By Trend/