Offshore staff

MOSCOW – Lukoil has completed an agreement to increase its interest in the Shah Deniz gas condensate project in the Caspian Sea by 15.5% to 25.5%.

Value of the transaction is $2.25 billion: completion remains subject to approval by state oil company SOCAR.

Assuming the sale goes through, the ownership interests of the other partners would be bp (operator, 28.8%), TPAO (19%), SOCAR (10%), NICO (10%), and SGC (6.7%).

The Shah Deniz field is in the Azerbaijani sector of the Caspian Sea, 70 km (43 mi) southeast of Baku. Production started in 2006.

In 2020, the consortium produced 18.1 bcm of gas and 3.6 MM metric tons (3.97 MM tons) of gas condensate. Since last December, exports have been sent to Europe via a pipeline system.

10/08/2021