- Azerbaijan-BP meeting reviews ACG oil stabilization, gas utilization projects.
- Progress on Shafag solar plant (240 MW) for liberated territories reconstruction.
- Positions Azerbaijan as Caspian-Central Asia-Europe energy bridge.
In a bid to promote joint ventures, the two entities Azerbaijan and British Petroleum (BP) have reached out to each other on very high levels to extend their collaborations across energy sectors of oil-gas and renewables, says a statement from the Ministry of Energy of Azerbaijan after the meeting. Parviz Shahbazov, the Energy Minister of Azerbaijan, met with Giovanni Cristofoli, BP Local President for Azerbaijan, Georgia, and Türkiye, to not only review the strategic partnership covering the energy security of the region but also the network of energy security that has been the core of the partnership in the last few decades.
The discussions revolved around the issue of the crude oil production at the staged-off Azeri-Chirag-Deepwater Gunashli (ACG) block which is the major source of Azerbaijan's hydrocarbon exports and, in the same breath, outlining the future steps in the ACG associated gas utilization program for substituting flaring by efficient utilization.
Several development and exploration projects together with the promising Shafag-Asiman prospect, Shah Deniz Compression for sustaining gas deliveries, the Karabagh field, and the Ashrafi-Dan Ulduzu-Aypara (ADUA) exploration area were brought forward for updates, emphasizing not only the technical advances made but also the investment pledges.
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The solar plant with a capacity of 240 MW at Shafag, hailed as BP's first major contribution to the post-conflict recovery of Azerbaijan's liberated territories, was one of the main points of discussion. This undertaking is a good example of how business is moving towards energy transition, first by delivering the electrification of the Sangachal terminal and then by linking the clean energy sources to the conventional oil-gas operations.
Moreover, the talks highlighted the significance of Azerbaijan from the perspective of global geopolitics as a key link that connects the energy sources of the Caspian Sea and Central Asia with the European markets, mainly through pipelines such as Southern Gas Corridor. They also talked about ways to further maximize this benefit with an expanded cooperation possibly involving green hydrogen and carbon capture to be in line with the international carbon reduction targets.
Through this collaboration, Azerbaijan will continue its two-pronged approach of not only keeping fossil fuel as a reliable source of energy but also fast-tracking the renewables, which will make the country a stable energy hub in a world with fluctuating global markets and the increasing demand for net-zero emissions by mid-century.