"Shah Deniz 2" consortium to hold talks with customers

Norwegian energy company Statoil ASA (STO) said Wednesday that the consortium operating the Shah Deniz 2 gas field in Azerbaijan plans to begin bilateral talks with potential customers over the supply of around 10 billion cubic meters of gas a year.

The second expansion stage of Shah Deniz is expected to reach output of 16 BCM a year from 2016 or possibly as early as 2014. Shah Deniz 2 as the largest gas field in the southern part of the Caspian Sea plays an important role in diversification of gas supply to EU countries.

The companies exploring Shahdeniz field hold talks with participants of the project “Nabucco”, Turkey-Greece-Italy (TGI) and Trans-Adriatic gas pipeline (TAP). Germany`s RWE AG - a member of the Nabucco project - said it is interested in gas from Shah Deniz and in contact with the consortium.

BP and Statoil both own 25.5% stakes in the consortium developing Shah Deniz. The State Oil Co. of Azerbaijan, or Socar, OAO Lukoil Holdings (LKOH.RS) of Russia, France`s Total SA (TOT) and National Iranian Oil Company all own 10% each.


/AzerTAc/