Azerbaijani finance minister: Oil revenues should be kept in reserve
An increase in the expenditures of the Azerbaijani state budget without having a permanent income can lead to unnecessary risks, said the country’s Finance Minister Samir Sharifov answering the questions of MPs during the discussions on the state budget for 2018 at a plenary session of the parliament. "I do not deny the fact that some expenses should be increased,” he said. “But an increase in expenditure without a constant income will take a short time and can lead to unnecessary risks."
“We should optimally regulate our expenses and try to increase revenues through the non-oil sector, while oil revenues should be kept in reserve, as they are always required during a difficult period, "Sharifov said.
The minister also commented on the statements of MPs about the big expenditures of state administration.
He said that the expenditures of state administration must be considered on the basis of specific figures. "It is wrong to see this figure as a percentage,” he said. “As a result of the reforms carried out in 2017, the country saved over 17 million manat in terms of expenditures on state administration.”
Azerbaijan to launch production of premium motor oils
Millers Oils Azerbaijan Ltd., a resident of the High-Tech Park of Azerbaijan National Academy of Sciences (ANAS) organized a presentation on the occasion of launching the production of premium motor oils, the High Tech Park told Trend.
The production is expected to be launched after the official presentation.
ANAS President Akif Alizade, UK Ambassador to Azerbaijan Carole Mary Crofts and Managing Director at Millers Oils Ltd Jamie Ryan will attend the presentation.
The High-Tech Park is already exporting lubricating oils to Turkey and Georgia.
“Now, we plan to expand the export of these products to Russia and the countries of Central Asia,” Babayev noted.
SOCAR-KBR joint venture awarded FEED contract for Azerbaijan’s big gas field
The joint venture of Azerbaijan’s state oil company SOCAR and US KBR Engineering Company - SOCAR-KBR Limited Liability Company (SKLLC) has been awarded a Front-End Engineering Design (FEED) contract for the topsides of the Absheron Early Production Project, KBR said in a message.
The platform will be located at SOCAR's Oil Rocks facility and will deliver gas and condensate into the SOCAR network.
The contract value has not been disclosed.
Earlier, SOCAR and Total signed a framework agreement in late 2016 on the main contractual and commercial principles regulating the program for the first phase of development of the Absheron field.
At the first stage, the field development includes drilling one well at a depth of 450 meters. The extraction will amount to 1.5 billion cubic meters of gas a year, which will fully flow to the domestic market of Azerbaijan, as well as significant amounts of condensate.
According to SOCAR’s geologists, Absheron’s reserves are estimated at 350 billion cubic meters of gas and 45 million tons of condensate.
The Absheron project will be operated by the Joint Operating Company Absheron Petroleum (50 percent SOCAR, 50 percent Total).
SOCAR starts selling AI-98 Super gasoline at filling stations in Azerbaijan
SOCAR Petroleum CJSC (operator of a network of filling stations of Azerbaijan’s state oil company SOCAR) has started selling AI-98 Super gasoline at seven filling stations in the country, the company told Trend.
This decision is related to the great demand of customers for the AI-98 Super gasoline.
Retail sale of AI-98 Super gasoline in Azerbaijan is carried out only at the filling stations under the SOCAR brand. The cost of one liter of AI-98 Super gasoline, imported from abroad, is 1.5 manats, and its quality corresponds to Euro 5 standards.
Earlier, it was reported that prices for AI-95 Premium and AI-98 Super gasoline brands, which are imported to Azerbaijan from abroad, increased.
The price of one liter of AI-95 Premium gasoline rose to 1.25 manats, the price of AI-98 Super gasoline rose to 1.5 manats.
Previously, the retail prices of these brands of gasoline were 1.15 and 1.30 manats per liter, respectively.
SOCAR Petroleum explained the increase in prices with the growth trends in gasoline prices all over the world, including countries from where luxury brands are imported.
SOCAR is the sole producer of oil products in Azerbaijan with over 400 filling stations in Azerbaijan, Georgia, Romania and Switzerland.
Ilham Aliyev: Azerbaijani gas to change significantly Europe’s energy map
The gas, to be produced at the Azerbaijani fields, will be the only new source of natural gas for Europe and, of course, will significantly change the energy map of the European continent, said Azerbaijan's President Ilham Aliyev.
President Aliyev made the remarks addressing a plenary session of the Eastern Partnership Summit in Brussels.
Energy policy is one of the issues, on which Azerbaijan actively cooperates with European institutions, said the president adding that the large-scale energy project, Southern Gas Corridor, is developing successfully.
President Aliyev noted that the cost of this project exceeds $40 billion and will allow Azerbaijan to extract additional volumes of gas and deliver them from the country to European markets.
The 3,500-kilometer pipeline will be a new route, and will transport gas to the European markets from a new source, he said.
“Along with the policy of energy security, this is the policy of energy diversification, because the gas, to be produced at the Azerbaijani fields, will be the only new source of natural gas for Europe and, of course, will significantly change the energy map of the European continent,” noted the head of state.
The president reminded that the proven gas reserves of Azerbaijan are equal to 2.6 trillion cubic meters and this will be enough to supply natural gas to Europe for decades.
Azerbaijan has put forward an initiative to implement the project of the Southern Gas Corridor, said President Aliyev and thanked the European Commission for its continued support to the project.
This support and funding by the European financial institutions are of great importance for the project’s successful implementation, added the head of state.