BP-operated projects extend cooperation with Petrochem Group

BP-Azerbaijan press service told APA-Economics that the extension covers provision of lubrication management services for the total limiting value of $3.6 million for the next two years.

The contract is in line with BP's and its co-venturers' efforts to maximize local content in their projects through increasing both the number of companies participating in their contracts, and the value of contracts awarded locally.

Under this contract Petrochem Group will be responsible for inventory management, demand planning and expert advice in support of the Azeri-Chirag-Gunashli (ACG), Shah Deniz, Baku-Tbilisi-Ceyhan (BTC) and South Caucasus Pipeline (SCP) facilities.

The new scope of work includes the provision of support for stocking including the monitoring of minimum and maximum levels of stock, quality assurance and quality control checks, rationalization, and forecasting. The contract also covers tracking of freight movements, liaison with BP personnel on anticipated volumes, alternatives for any long lead time or obsolete lubes, development of lubrication strategies for various installations, management of lubricant oil database, filtration/clean up and ferrography predict.

Petrochem has had a sole distributorship for BP Lubricants in Azerbaijan since 1993.

BP as the operator of Azerbaijan's major oil and gas development and transportation projects on behalf of its co-venturers has set an ambitious new target to double the value of contracts placed with Azerbaijan-owned companies by 2010. To reach this target, BP and its co-venturers have opened the Enterprise Centre in Baku to support local companies and encourage their participation in BP-operated projects.