Tokyo, 04 April, /AJMEDIA/
Increasing LUKOIL’s share in the Shah Deniz gas project in Azerbaijan to 19.99 percent from 10 percent two years ago (this deal was closed in early 2022) allowed the company to expand its foreign gas production portfolio under the international SEC (Securities and Exchange Commission) reporting system, Trend reports.
“Regarding international projects, gas production in 2023 increased by 0.6 percent, reaching 17 billion cubic meters, due to the increase in LUKOIL’s share in the Shah Deniz project in Azerbaijan in 2022, as well as the effect of Production Sharing Agreements (PSA) in the conditions of gas price reduction in 2023,” the company’s report said.
To note, gas production at Shah Deniz has been ongoing since December 2006, based on a contract signed in 1996.
Currently, the project participants are bp (29.99 percent), SOCAR (21.02 percent), Lukoil (19.99 percent), NICO (10 percent), and TPAO (19 percent).
The reserves of Shah Deniz are estimated at 1.2 trillion cubic meters, with one-sixth of the reserves extracted.
