Azerbaijan: Total and SOCAR sign agreement to develop Absheron discovery

21/11/2016

News

Paris – Total and SOCAR, the national oil company of Azerbaijan, have signed an agreement establishing the contractual and commercial terms for a first phase of production of the Absheron gas and condensate field, located in the Caspian Sea and discovered by Total in 2011. 
 
I’m delighted with this agreement, which we sign on the occasion of the 20th anniversary of Total’s presence in Azerbaijan, and which represents an important step to monetize the Absheron discovery made by Total in 2011” said Patrick Pouyanné, Chairman and CEO of Total. “This agreement was made possible by the close cooperation between Total and SOCAR, which has allowed us to design a cost-competitive development scheme by tying the field to existing infrastructure in order to deliver gas at a competitive price”
 
The development involves the drilling of one well at a water depth of 450 meters. Production from this high pressure field will be around 35 thousand barrels of oil equivalent per day, including a significant portion of condensate. The produced gas will supply Azerbaijan’s domestic market.  
 
This first phase of production will also enable a dynamic appraisal of the field for future phases.
 
Total is the operator of Absheron with a 40% interest alongside SOCAR (40%) and ENGIE (20%).
 
Total Exploration and Production in Azerbaijan
Total has been present in Azerbaijan since 1996. Total also holds a 5% interest in BTC Co, owner of the BTC oil pipeline (Bakou-Tbilissi-Ceyhan), which connects Baku and the Mediterranean Sea. 
 
 
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Cautionary note
 
This press release, from which no legal consequences may be drawn, is for information purposes only. The entities in which TOTAL S.A. directly or indirectly owns investments are separate legal entities. TOTAL S.A. has no liability for their acts or omissions. In this document, the terms “Total” and “Total Group” are sometimes used for convenience where general references are made to TOTAL S.A. and/or its subsidiaries. Likewise, the words “we”, “us” and “our” may also be used to refer to subsidiaries in general or to those who work for them. 
This document may contain forward-looking information and statements that are based on a number of economic data and assumptions made in a given economic, competitive and regulatory environment. They may prove to be inaccurate in the future and are subject to a number of risk factors. Neither TOTAL S.A. nor any of its subsidiaries assumes any obligation to update publicly any forward-looking information or statement, objectives or trends contained in this document whether as a result of new information, future events or otherwise.

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