On August 31, in Baku, Azerbaijani President Ilham Aliyev discussed the progress of the “Absheron” gas condensate field development project in the Caspian Sea with Patrick Pouyanne, the Chief Executive Officer of the French company “TotalEnergies.”
“The start of production of the first gas at the “Absheron” field was noted, and the head of state was provided with detailed information about the parameters of the project. It was emphasized that the producing well is the most productive and with the lowest carbon dioxide emissions. This is a clear evidence of the rich potential and prospects of the deposit,” the website of the head of state reports.
The sides also exchanged views on the expansion of “TotalEnergies’” activities in Azerbaijan, including the transition to the stage of full-scale development of the Absheron field.
“The French company has also expressed interest in participating in new projects in Azerbaijan. In particular, the prospects and potential for the implementation of renewable energy projects in the country, including in Nakhchivan, were discussed,” the information emphasizes.
“TotalEnergies” and SOCAR (the State Oil Company of Azerbaijan) announced the start of production on July 10, 2023 as part of the first phase of development of the Absheron field. Prior to that, a memorandum of cooperation on exploration and development of the Babek offshore structure was signed between the companies (Azerbaijani geologists suggest that there may be gas reserves of about 400 billion cubic meters here).
Currently, 4.5 mcm of gas and 1,400 tons of condensate are produced daily from the “Absheron” field as part of the first stage of production. The gas is intended for the domestic market of Azerbaijan.
SOCAR and “TotalEnergies” had equal interest in the “Absheron” project – 50% each. However, on August 4, 2023, the Abu Dhabi National Oil Company (ADNOC) acquired a 30% equity interest in the project – 15% each from SOCAR and “TotalEnergies.” After the transaction is completed, the shares of SOCAR and “TotalEnergies” in the “Absheron” project will amount to 35% each.