The State Oil Company of Azerbaijan (SOCAR) and Bulgaria’s Bulgargaz company have signed a protocol of intentions in Baku.
The document was signed by the President of SOCAR, Rovnag Abdullayev and head of the Board of Directors of Bulgargaz, Botyo Velinov, a message from SOCAR said Sept.22.
Additionally, a memorandum of understanding was signed between SOCAR and Bulgartransgaz company. The document was signed by Rovnag Abdullayev and CEO of Bulgartransgaz, Kirill Temelkov.
Previously, Bulgarian media reported that the country plans to start importing 200-300 million cubic meters of gas from Azerbaijan per year from 2016. It is expected that the final investment decision to construct a gas grid inter-connector between Greece and Bulgaria will be adopted in autumn of 2014.
It is planned to complete the construction of the gas grid inter-connector by 2016.
On December 17, 2013, a final investment decision was made on Stage 2 of the Shah Deniz offshore gas and condensate field’s development. The proven gas reserve of the field is estimated at 1.2 trillion cubic meters.
The gas to be produced as part of Stage 2 of the field’s development will be exported to Turkey and to the European markets by means of expanding the South Caucasus Pipeline and construction of the Trans-Anatolian Gas Pipeline (TANAP) and the Trans-Adriatic Pipeline (TAP).
The consortium for the development of the Shah Deniz gas condensate field in the Azerbaijani sector of the Caspian Sea, signed long term contracts (25 years) in September 2013 with nine European companies on gas supply.
The contracts for the purchase of gas from the second phase of development of the Shah Deniz field were signed in Baku with the following companies: Shell, Bulgargaz, DEPA, Gas Natural Fenosa, EON, Gaz de France, Hera, Enel and Axpo.
The first gas will be delivered to Turkey in 2018 and to Europe in 2019.
