During six months, 2016 export of Azerbaijani oil to the markets via the Baku-Tbilisi-Ceyhan (BTC) pipeline dropped by 7.3% or by 667,154 tons.
However, not only reduction of the volume was a negative consequence for the Azerbaijani economy.
From January to June 2016 average export price of BTC FOB Ceyhan oil, which is shipped from the Mediterranean port Ceyhan, decreased by 30.9% or by $18.34 per barrel. This is a serious factor both for formation of the Oil Fund’s incomes and payment of taxes to the state budget by the oil companies.
If during six months 2015 Oil Fund of Azerbaijan received the oil profit of $620 million a month, this year it totaled about $350 million. During the peak year of 2011 monthly income of the Oil Fund from the Azeri-Chirag-Guneshli (ACG) field totaled $1.6 billion and in 2014 – $1.2 billion.
Table of average export price of BTC FOB Ceyhan (in $/barrels)
Months | 2016 | 2015 |
January | 32,33 | 49,53 |
February | 33,43 | 59,99 |
March | 39,80 | 57,33 |
April | 43,02 | 61,42 |
May | 48,11 | 65,16 |
June | 49,41 | 62,73 |
Total | 41,02 | 59,36 |
Source: SOCAR’s Department of Marketing and Economic Operations
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