The EU Member States agreed on European Commission proposal to invest â‚¬48.4 million in several key European energy infrastructure projects using funds coming from CEF Energy (Connecting Europe Facility) during first 2018 Call.
This decision also grants financial assistance to TANAP in the amount of â‚¬5.044.394 to undertake â€śCathodic protection verification and re-modification studies for As-Built designâ€ť.
TANAP Natural Gas Pipeline Project is one of 2 natural gas projects which is selected for financial assistance under the first CEF Energy Call for Proposals 2018.
â€˘ SOCARâ€™s oil production increased by 3.6 percent and gas production by 5.3 percent
â€˘ 19.4 mln. tons of oil and 14.4 billion cubic meters of gas was produced during the six months of the year
â€˘ Oil production in the country increased by 1.2%, gas production - by 3.1%
SOCAR's oil production in the second quarter of the current year increased by 3.6 percent to 1.9 million tons, and gas production increased by 5.29 percent to 1.66 billion cubic meters. 3.7 mln tons of oil and 3.2 bln. cubic meters of gas were produced by SOCAR within 6 months. Totally 19.38 mln. tons of oil, 14.36 bln cubic meters of gas were produced in the country for the first six months of 2018. Compared with the same period of the previous year, it was 1.2% growth in oil production and 3.1% in gas production.
Stabilization and enhancement of production by SOCAR is linked to a complex action plan on strategically important fields. Increasing drilling in this direction also plays an important role. About 80,000 meters of wells were drilled in January-June 2018, which is an increase of 8.4% over the same period last year. More than 39,000 meters of drilling operations fall to the 2nd quarter of 2018 (April-May-June).
In the second quarter of 2018, significant growth was observed in the export of crude oil and oil products. Crude oil exports increased by 18% to 6.1 million tons compared to the same period last year. Crude oil exports in June of the current year increased by 24% to 2.1 million tons, up from the same period last year.
According to audited financial statements, SOCAR's gross profit in 2017 increased by 78% to AZN 92.6 billion. Compared to the results for 2016, the net profit increased nearly 6 times reaching AZN 2.09 billion. SOCAR increased its total assets by 16% to AZN 61.3 billion.
The financial results and indicators for 2017 exceed the results achieved before crisis in the oil industry. These positive financial results can be attributed largely to the following: .
â€˘ In 2017, SOCAR almost tripled the volume of oil and oil products purchased from third parties, which resulted in the growth of overall trade turnover by more than double; .
â€˘ higher profits from petrochemical products; .
On 30th of May State Oil Company of Azerbaijan Republic (SOCAR) and Statoil Azerbaijan, part of Norwayâ€™s Equinor group signed a Risk Service Agreement (RSA) Related to the Development of the Karabagh Oilfield in the Azerbaijan sector of the Caspian Sea and an Agreement on the Exploration, Development and Production Sharing (PSA) for the Ashrafi -Dan Ulduzu -Aypara Area in the Azerbaijan sector of the Caspian Sea. Rovnag Abdullayev, President of SOCAR and Tim Dodson, Equinorâ€™s executive vice-president for exploration signed the documents.
An appraisal well drilling in the Karabagh oilfield is scheduled for 2018, according to the terms of RSA, with commissioning of the platform and first production planned for 2021. Under the PSA, seismic acquisition will be carried out, with exploration drilling to be scheduled. To operate the projects Statoil and SOCAR will form a 50-50 joint operating company.
President of SOCAR Rovnag Abdullayev said: â€śToday we enter a new phase of cooperation between SOCAR and Equinor. 25 years of partnership between our companies have laid a solid foundation for efficient cooperation on the new joint projects. These agreements will take on significance, contributing to the stability of oil production and satisfying the growing demand for natural gas in Azerbaijan, while providing raw materials for the processing industry.â€ť .
Eldar Saetre, President and CEO of Equinor, said: â€śThe agreements signed today represent a natural next step in the region. This will strengthen our position in a prolific basin and develop growth options. The licenses lie in close proximity to the ACG field in a basin we know well. We now look forward to work on these new exploration projects in partnership with SOCAR.â€ť .
The State Oil Company of the Azerbaijan Republic (SOCAR) is involved in exploring oil and gas fields, producing, processing, and transporting oil, gas, and gas condensate.read more
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