Azerbaijan, Baku, May 18 / Trend E. Ismayilov /
The work between SOCAR and Bahar Energy Limited is being held within the PSA contract concluded on exploration, rehabilitation, development and production on the block, which consists of offshore deposits "Bahar" and "Gum Deniz", a source in SOCAR said.
The work on inventory of assets on these fields is being held.
PSA contract for exploration, rehabilitation, development and production on the block, which consists of offshore deposits "Bahar" and "Gum Deniz", located in the Azerbaijani sector of the Caspian Sea, was signed in December 2009 between SOCAR and Bahar Energy Limited.
The contract consists of two parts: the first involves rehabilitation and stabilization of production on the field, and the second - exploration of promising structure "Bahar-2". About 50 new wells are planned to be drilled for the first phase. Later repair work will be conducted on 100 wells.
The contract was signed for 25 years with option to renew for another five years. Investments, which will be invested in the contract, will hit $1 billion.
Production from these fields will be implemented from new platforms. It is planned to fully use existing infrastructure.
It is planned to drill a single exploration well within the second part of the contract, which involves exploration on the structure of "Bahar-2". Another well can be drilled if thee is necessity.
Bahar Energy Limited was registered in the SEZ Jebel Ali in the UAE.
Gum Deniz has operated since 1955 and is located 21 kilometers southeast of Baku. So far, the field has produced about 28.9 million tons of oil and 27 billion cubic meters of gas.
Bahar has operated since 1969 and is located 40 kilometers southeast of Baku. So far, the field has produced over 16.8 million tons of oil and approximately 128.7 billion cubic meters of gas.
SOCAR's share holding is 20 percent, Bahar Energy Limited - 80 percent.
