Azerbaijan's gas output is estimated to top 35-40 billion cubic meters: SOCAR president

"Gas production in Azerbaijan is constantly growing. While this figure stood at five billion cubic meters in 2004, 27 billion cubic meters of gas is expected to be produced in 2009," Abdullayev said.

SOCAR plans to produce about 8 billion cubic meters of gas in 2008.

The Caspian region has vast hydrocarbons reserves. In Azerbaijan, these reserves are estimated at five trillion tons of standard fuel, he said.

Abdullayev said the talks are also held underway as part of the project to develop deep-lying gas in the Azeri-Chiraq-Gunashli fields.

Abdullayev said SOCAR continues investing in development of gas distribution networks in Georgia. At the primary stage of the project to develop 31 gas facilities, owned by the company, the volume of investment will total nearly $20 million.

"The presence of large gas reserves in the region still does not mean their rational use. Appropriate infrastructure is also needed for its transport," Abdullayev said.

He said to sell gas, Azerbaijan, from the commercial point of view, is considering and studying all lucrative projects, including the Nabucco gas pipeline project, TGI, TAP and others.

A necessary work is underway to transport gas to other areas, in particular, to Russia in accordance with the memorandum signed between SOCAR and Gazprom, he said.

Under the agreement, SOCAR will deliver to Russia at least 500 million cubic meters of gas per year in 2010.

"We are carrying out repair work on the pipeline. It is planned to start this project by the end of the year," Abdullayev said.

/Trend News/