Anticipated to begin operations in April, this phase marks a significant advancement in Azerbaijan’s oil development efforts, upstreamonline.com reported.
Bakhtiyar Aslanbayli, BP’s vice president for the Caspian region, announced this progress from Baku, revealing that operations at the Azeri Central East (ACE) offshore production platform have transitioned to a remote control room at the Sangachal onshore terminal, a milestone indicating readiness for initial oil extraction.
The ACE project, valued at $6 billion, targets the untapped potential of the ACG license area, aiming to mitigate the natural decline in production that the region has experienced since 1997. With the capacity to process up to 100,000 barrels per day, the ACE platform is poised to invigorate production in the area.
A spokesperson from BP’s Azeri operations disclosed that the imminent milestone involves the completion of the first production well, with oil expected to flow from the ACE platform by April. Positioned between the Central Azeri and East Azeri platforms, the ACE platform boasts 48 slots for development and injection wells, strategically situated in a water depth of approximately 140 meters.
As the largest oil development endeavor in Azerbaijan, ACG currently operates seven production platforms alongside two process platforms, facilitating gas compression, water injection, and utilities operations. BP leads the consortium with a stake exceeding 30%, in collaboration with Azeri state oil player Socar and other international partners.
In addition to monitoring progress on the ACE platform, authorities in Baku are keenly observing BP’s exploration activities, particularly the evaluation of a potential gas-bearing formation through an exploration sidetrack from the Chirag platform, poised for conversion into a producer.
Against the backdrop of global energy transitions, Azerbaijani authorities, under President Ilham Aliyev’s leadership, are preparing for a gradual decline in oil production while targeting a substantial increase in gas exports to Europe. With ambitions to nearly double gas exports to 20 billion cubic meters per annum by 2027, Azerbaijan is strategically positioning itself in the evolving energy landscape.
