Page 13 - FSUOGM Week 33

FSUOGM PERFORMANCE FSUOGM

Azeri energy export volumes

steady, value tumbles

AZERBAIJAN WHILE Azerbaijan kept export volumes of Azeri-Chirag-Guneshli field delivered 435,100
crude and oil products steady in the first seven bpd of crude while State Oil Company of Azer-
months of this year, according to local media baijan Republic (SOCAR) produced 119,000
reports citing State Customs Committee data, bpd. The country has agreed to limit its pro-
the value of the shipments plunged. duction to 554,000 bpd in May-July under the
The Central Asian country sold 19.5mn OPEC+ production framework.
tonnes of petroleum in January-July, flat on the Looking further ahead the county expects to
19.5mn tonnes exported in the same period of start up the Karabakh oil and gas field in the Cas-
2019, AzerNews reported on August 17. The pian Sea before the end of 2022, the head of the
value of said exports, however slid from $9.5bn Karabakh operating company, Tahir Dadashov,
in the first seven months of 2019 to $6.3bn in the told Reuters last week.
same period of 2020. “In the early years oil production at the Kara-
Natural gas exports fared somewhat bet- bakh field will amount to more than 1.5mn
ter, with shipments climbing from 6.7bn cubic tonnes per year [30,000 bod],” Dadashov said on
metres in January-July 2019 to 7.7 bcm in the August 12. He added that gas production would
same period of 2020. reach 4.5mn cubic metres per day.
The country’s output of gasoline climbed The Karabakh operating company, which is
0.3% year on year in the period to 715,900 a joint venture between SOCAR and Norway’s
tonnes, while diesel production grew by 4.4% on Equinor, has been developing the field since May
the year to 1.3mn tonnes. Investment to Azer- 2018. Dadashov estimates the field has 21mn
baijan’s oil and gas sector grew by 22.9% year tonnes (153,93mn barrels) of recoverable oil
on year to AZN3.4bn ($2bn) in the first seven reserves.
months. The executive said support blocks for a new
Azerbaijan produced 554,100 barrels per day platform would be installed in the first quarter of
of crude in July and another 96,000 bod of con- next year, with engineering works on platform to
densate, according to the Energy Ministry. The be wrapped by the end of 2022.™

Azeri gas production, exports climb

AZERBAIJAN AZERBAIJAN reportedly increased its natural The Central Asian country exported 7.7 bcm
gas production by more than 10% year on year in the seven-month period, a 16.7% increase
in the first seven months of this year. y/y. Of that figure 6.3 bcm was exported to
The country produced 22.3bn cubic metres in Turkey, while Georgia received the remaining
January-July, AzerNews reported on August 19 1.4 bcm. The total value of the exports climbed
citing data from the Energy Ministry. from $1.2bn in the first seven months of 2019 to
Out of that number, the Shah Deniz $1.4bn this year.
field accounted for 11 bcm, the Azeri-Chi- Azerbaijan is understood to have
The Central Asian rag-Guneshli (ACG) field produced 7 bcm pumped 2.4 bcm of gas – supplied solely

country exported and State Oil Company of the Azerbaijan from the Shah Deniz field – to Turkey via
Republic (SOCAR) accounted for the out-
the Trans-Anatolian Natural Gas Pipeline
7.7 bcm in the standing 4.3 bcm. (TANAP). This brought the pipeline’s total
BP operates both Shah Deniz and Azeri-Chi-
shipments since supplies started in June
seven-month rag-Guneshli, owning 30.37% and 28.8% of the 2018 to about 6.3 bcm.
period, a 16.7% respective fields. TANAP is part of the South Gas Corridor, the
SOCAR owns 16.7% of Shah Denizm, goal of which is to help reduce Europe’s demand
increase y/y while Turkish Petroleum (TPAO) has 19%, for Russian gas by opening up a supply route
Petronas owns 15.5%, Lukoil has 10% and from the Caspian region and Middle East.
Nico owns 10%. SOCAR also owns 25% of Turkish Energy Minister Fatih Donmez said
ACG, while Chevron holds 9.57%, Inpex earlier this month that supplies via TANAP had
owns 9.31%, Equinor has 7.27%, Exxon- climbed to a record 17mn cubic metres in July.
Mobil owns 6.79%, TPAO owns 5.73%, Ito- The pipeline originally began pumping 4.7 mcm
chu Oil has 3.65% and Oil and Natural Gas per day, before slowly ramping up to 11.3 mcm
Corp. (ONGC) owns 2.31%. in July 2019.™

Week 33 19•August•2020 www. NEWSBASE .com P13