Aze.Media
Who we are
Donate
No Result
View All Result
  • Opinion
  • News
    • Economy
    • Energy
    • Ecology
  • Culture
  • Diaspora
  • Interview
  • Science
  • Logistics-Transport
  • Gender
  • History
  • Defense
  • Karabakh
  • Home page
  • Culture
  • Defense
  • Diaspora
  • Gender
  • History
  • Interview
  • Karabakh
  • Logistics-Transport
  • News
    • Ecology
    • Economy
    • Energy
  • Opinion
  • Science
No Result
View All Result
Aze.Media
Home News Energy

Lukoil and Petronas change Shah Deniz deal due to pre-emption by partners

Russian oil and gas company Lukoil and Malaysia’s Petronas have changed their previously announced agreement related to Lukoil’s acquisition of an interest in the Shah Deniz natural gas project in the Azerbaijan sector of the Caspian Sea from Petronas.

Author: AzeMedia
December 10, 2021
in Energy
Reading Time: 2 mins read
Lukoil-Continues-Caspian-Expansion

SOURCE: LUKOIL.COM

Lukoil signed the initial agreement with Petronas on acquiring 15.5 per cent interest in the Shah Deniz project in October 2021. The deal was supposed to increase Lukoil’s interest in the project from 10 per cent to 25.5 per cent after paying $2.25 billion.

Now, Lukoil has signed amendments to the agreement concluded in October on the acquisition of a share in the Shah Deniz project from Petronas.

In accordance with the new arrangements, the share acquired by Lukoil is reduced from 15.5 per cent to 9.99 per cent with a proportional decrease in the transaction value from $2.25 billion to $1.45 billion. The deal is expected to be closed in January 2022.

According to Lukoil, the conclusion of the amendments resulted from negotiations with the Shah Deniz project partners on the implementation of pre-emptive rights.

Other parties in the project are BP (operator, 28.8 per cent), TPAO (19 per cent), SOCAR (10 per cent), NICO (10 per cent), and SGC (6.7 per cent).

The BP-operated Shah Deniz gas condensate field is located in the Azerbaijan sector of the Caspian Sea, 70 kilometres southeast of Baku. The project is implemented under a PSA and the commercial production there began in 2006. In 2020, the Shah Deniz consortium extracted 18.1 bcm of gas and 3.6 million tonnes of gas condensate.

In July 2021, Shah Deniz consortium started production from the East South flank at 540m water depth – the biggest milestone planned for the project this year.

The new East South production flank consists of four wells, two new flowlines, and a number of subsea structures connected to the world-class Shah Deniz reservoir. It is expected that the flank will be at full production rates in the third quarter of 2021.

Offshore-energy.biz
Share6Tweet4SendShare

Get real time update about this post categories directly on your device, subscribe now.

Unsubscribe

Related Posts

Dewa-headquarter
Energy

DEWA, Azerbaijan discuss bilateral relations in energy sector, business opportunities

June 25, 2022
344TQT7A35LYLATVPIVG5M3NVE
Energy

BP paid the Azeri government $10.59bn in production entitlements and other fees last year.

June 24, 2022
virgil-popescu-1920x1020-c-default-1920x1020-c-default
Energy

Energy Minister in Azerbaijan: We’re interested in diversifying energy supply sources & routes, petrochemical industry investments

June 24, 2022
344TQT7A35LYLATVPIVG5M3NVE
Energy

BP to reduce carbon footprint of Shah Deniz platform through new power supply

June 20, 2022
0bebc3c92cf85310d8ceefec2038efda
Energy

Investment triumph on the banks of the Thames: Baku and London stake on “green” energy

June 17, 2022
re-tap-new-hero
Energy

Azerbaijan cooperating with European Commission to increase gas supplies to Europe

June 17, 2022
820e49a1-e30d-33a8-b4c1-e1d79a3a6d74_850
Energy

Ilham Aliyev: Europe interested in larger gas supply from Azerbaijan

June 16, 2022
GettyImages-1216198235
Energy

Türkiye: A new emerging gas player with resources and infrastructure

June 15, 2022

New articles

Diaspora

Azerbaijani Israelis and their birthplace

June 28, 2022
Logistics-Transport

Kazakhstan, Azerbaijan and Turkey seek ways to boost cooperation in logistics and transport

June 28, 2022
Logistics-Transport

Silk Way West Airlines signs order for two A350F

June 28, 2022
News

Azerbaijan’s president, OIC chief discuss promotion of Islamic solidarity

June 28, 2022
Karabakh

Armenia, Azerbaijan trade new Karabakh accusations

June 28, 2022
Karabakh

President: Azerbaijanis to live in liberated lands forever – Azerbaijani president’s full speech

June 27, 2022
Opinion

“Caspian Interest”: Purpose of Russian FM’s visit to Azerbaijan

June 26, 2022
News

Azerbaijani president visits Goygol, Kalbajar, Lachin districts

June 26, 2022
Defense

Azerbaijan marks Armed Forces Day

June 26, 2022
Energy

DEWA, Azerbaijan discuss bilateral relations in energy sector, business opportunities

June 25, 2022
c24a7d34-02d2-45a2-95ad-980aa8264ad5
426082d1-a9e4-4ac5-95d4-4e84024eb314
ab65ed96-2f4a-4220-91ac-f70a6daaf659
96e40a2b-5fed-4332-83c6-60e4a89fd4d0
759bde00-a375-4fa1-bedc-f8e9580ceeca
aze-media-logo-ag

Aze.Media offers an independent and strategic insight on socio-cultural, political and economic life in Azerbaijan. We are thinkers of diverse disciplines spread across countries working together as one team to provide international audiences with an alternative point of view on Azerbaijani and foreign realities.

Email: editor@aze.media


© 2021 Aze Media International Platform for Alternative Thought.

No Result
View All Result
  • News
  • Economy
  • Ecology
  • Energy
  • Opinion
  • Culture
  • Gender
  • Interview
  • Science
  • Logistics-Transport
  • History
  • Defense
  • Karabakh
  • Diaspora
  • Who we are

© 2021 Aze Media International Platform for Alternative Thought.