THE AMERICAN DOCTORS NOTE IMPROVEMENT OF THE HEALTH OF THE PRESIDENT OF AZERBAIJAN MR. GEYDAR ALIYEV

BAKU.27.08.2003.MEDIA-PRESS: The organism of the President of Azerbaijan Mr. Geydar Aliyev positively reacts on the treatment, carried out in the Cleveland clinic (USA), as it is informed in the press-release of the medical institutions delivered to the agency "Interfax - Azerbaijan".

"The treatment of the President Mr. Geydar Aliyev from the cardiac insufficiency and problems with kidneys. His state since his transportation to clinics has improved", - it is told in the press-release.

"I am near the President in Cleveland for several days. His treatment continues successively. By the words of doctors, in the next time the president will return to the Motherland being treated entirely", - the Premier of Azerbaijan Mr. Ilham Aliyev has declared to the Azerbaijan TV Channel "Leader". He has noted that he has informed the President about events in Azerbaijan. "Let nobody worries. The analogous events occurred in his life. He is such man, who does not surrender to anybody an anything. And now he will not surrender, be treated and return to the Motherland", - Mr. I. Aliyev has said.

ON SEPTEMBER 2 - 3 THE NEXT ROUND OF NEGOTIATIONS ON JOINING OF KAZAKHSTAN TO THE MEP BAKU - TBILISI - CEYHAN WILL TAKE PLACE

BAKU.27.08.2003.MEDIA-PRESS: On September 2 - 3 the next round of the negotiations on joining of Kazakhstan to the construction of the Main Export Pipeline Baku - Tbilisi - Ceyhan (MEP BTC) will take place in Baku. Mr. Andar Shukutov, the Ambassador of Kazakhstan in Azerbaijan Mr. Andar Shukutov has informed about this.

We shall remind that earlier the meeting of the working group was planned by the end of June, and then it was transferred to the first decade of July, however it was not held. By confirmations of the sides, the date postponing was connected only with technical causes. As Mr. A. Shukutov has noted, now the date of negotiations was offered by the Azerbaijan side and the agreements are into force. As Managing Director of JC "KazMunayGaz" Mr. Kairgeldy Kabildin has informed Media-Press earlier, after conclusion of intergovernmental agreement between Azerbaijan and Kazakhstan commercial agreements will be signed with future TransCaspian Company, which would manage by transport system of Aktau - Baku. Four foreign companies, which operate in Kazakhstan and have joined to the pipeline Company BTC Co. (Baku - Tbilisi - Ceyhan) will enter in newly founded company. They have 15% sharing in BTC. By his words it is planned to transport 7.5 MM t of Kazakhstan oil in the first stage, but in total Astana account for 20 MM t per year. In future if Kazakhstan oil export by the route Baku - Tbilisi - Ceyhan will exceed 20 MM t it will be necessary to build a pipeline which would connect Baku with Astana, as it will be more profitable. For the present this question does not stand on agenda. Mr. K. Kabildin has emphasized that wide scale researches are conducted by oil companies in Kazakhstan for solving of problems of technological conditions of shps, types of necessary tanks, etc. Caspian Shipping Company and other institutions have been attracted for these purposes, he has said.

A DRILLING OF THE FIRST ADVANCED WELL HAS BEEN COMPLETED ON THE AZERBAIJAN OFF-SHORE GAS FIELD "SHAKH-DENIZ"

BAKU.27.08.2003.MEDIA-PRESS: On the maritime gas oil field "Shakh-Deniz" a drilling of the first advanced well has been completed. As the Vice-President of the State Oil Company of Azerbaijan Mr. Khoshbakht Yusifzade has informed, on a level of 6550 meters drilling workers opened the "Suite of Interruption" and so stopped the sinking, though the project depth of the well made 7244 meters. By his words, by preliminary information, based on gas logging it is possible to affirm that the well is successive and further account for its large debit. Now works on its completion re conducted. A drilling will not contiunue up to the project depth.

We shall remind that the well is drilled from the back plate, which was installed under submersible floating drilling installation (SFDI) "Istiglal". The well was layed on the northern-eastern wing of the structure, at a depth 101 in the sea. A drilling started on April 19. As a whole a well would be drilled for 170 days. The Company Caspian Drilling Company is a conractor of the drilling. The well is drilled from the back plate, which was installed under submersible floating drilling installation (SFDI) "Istiglal". The well was layed on the northern-eastern wing of the structure, at a depth 101 in the sea. A drilling started on April 19. As a whole a well would be drilled for 170 days. The Company Caspian Drilling Company is a conractor of the drilling. Execution of the advanced drilling program up to istallation of stationary production platform here will allow to increase a rate of production of the first gas volumes and provide rapid growth in gas production after putting the platform into operation.

The "Stage-1" of development of the field "Shakh-Deniz" includes installing the platform TPG 500 for drilling off 15 wells at depths up to 105 m in the sea, underwater preparation of the field with 5 wells, which will be drilled later already at a depth of up to 300 m, construction of two underwater pipelines with a length 100 m of each one (26 inches pipeline and 12 inches for a condensate) from the platform TPG 500 up to Sangachal terminal, construction of installation for gas and condensate preparation on a shore terminal, as well as construction of the South Caucasus pipeline Baku - Tbilisi - Ceyhan. A total cost of the project makes $3.2 bn. Assessed supplies of the field "Shakh-Deniz" make 1trln cubic meters of gas. Joint-stock holders of the project are BP (25.5%), Norway Statoil (25./5%), the SOCAR (10%), French-Belgium TotalFinalElf - 10%, Russian "Lukoil" - 10%, the Iranian OIEC - 10% and the Turkish TRAO - 9%.

THE VICE-PREMIER MR. VICTOR KHRISTENKO: "IN 2003 THE OIL PRODUCTION IN RUSSIA WILL MAKE ABOUT 415 MM TONS

BAKU.27.08.2003.MEDIA-PRESS: In 2003 the oil production in Russia will make about 415 MM t. The Vice-Premier Mr. Victor Khristenko had made such prediction in his conversation with the journalists.

He also informed that in the current year a significant growing of the capacities on oil pumping for export will take place in the current year. By the words of the Vice-Premier, by the present time all technological work on the reconstruction of oil pumping stations has been completed. These measures with the changes of oil pumping technology in the area Kholmogori - Klin will allow to increase oil pumping volumes for export by the system of "Transneft" by 18 - 19 tons per a year. In the first half of a year in the current year a growth of oil transportation for export in account of these measures has made 7.5 MM tons and by data for August - more 11 MM tons.

Besides of this, by the words of the Vice-Premier, a growth of the export capacities will take place in account of new turns of the Baltic pipeline system (BPS). By the end of 2003 this increase will make 20 MM tons per a year. The export opportunities of the pipeline system will increase additionally by 4 MM tons in account of opening the new export trend of the Russian oil through the terminal "Yuzni" in the IV quarter of 2003 in Ukraine. Mr. V. Khristenko noted that putting into operation of new oil pumping export capacities will allow to escape from further serious problems, connected with a lack of opportunities for oil transportation. By the words of the Vice-Premier, in the current year a stable growth of oil and oil products export transportation by railway is registered also. In comparison with the preliminary year this growth has made 15% and become approximately 20% for petroleum. Besides of this, a seasonal growth of oil transportation with using the river ships is watched.

IRAN DOES NOT AGREE ON OIL PRODUCTION QUOTA EQUAL AS FOR IRAQ

BAKU.27.08.2003.MEDIA-PRESS: As soon as Iraq will achieve pre-war volumes of the oil supplies, a sharp reduction of prices for petroleum may occur, the Minister of Oil of Iran Mr. Bijan Hamdar Zangane has said. As the Iranian Minister has emphasized, a collapse of prices for petroleum may be avoided in the case of enlarging and deepening the cooperation of OPEC with the countries-large oil exporters, in the first turn with Russia, Mexico and Norway. And with this Mr. Zangane could not to answer a question about terms of full scale returning of Baghdad to the world energetic markets and its real returning to the world petroleum cartel. And the representative of Iran in OPEC Mr. Khuseyn Kazempur-Ardebilli has declared that Iran will never agree with oil production quotas equal with quotas for Iraq only on the base that petroleum supplies of it make 112bn barrels. By his words, besides of large supplies, Iraq should have the same level of oil production as in Iran. Moreover, Mr. Kazempur-Ardebilly has noted that oil supplies of Iran are estimated at the present time by 130.7bn bbl against 99 bn in 2001. Active exploration works promoted to growth in supplies for the last years. Obviously that petroleum supplies and the production have not common features, the Iranian representative emphasized, and made a reference to a level of hydrocarbon production in the Saudi Arabia. At the supplies of 265 bn bbl of oil its daily production reaches 8 MM bbl.

If Iraq requires quota of 2.5 MM bbl per a day in the next year it will mean that the rest members of the OPEC also will be forced to increase the production by 1.2 MM barrels per a day to balance establishing. By information of Mr. Kazempur-Ardebilli, at the present time capacities on the oil production in Iran make 4.2 MM barrels per a day and its quota in the OPEC - 3.3 MM bbl.

IN JAPANTHE MINISTER OF THE FOREIGN AFFAIRS OF IRAN WILL DISCUSS THE PERSPECTIVES OF THE DEVELOPMENT OF THE FIELD AZADEGAN

BAKU.27.08.2003.MEDIA-PRESS: The Minister of the Foreign Affairs of Iran Mr. Kyamal Kharrazi will arrive today to Japan with three day visit with a purpose of discussion of details of $2 bn contract on the development of the field of Azadegan.

In spite of that the consortium consisting of Japan Petroleum Exploration Co. INPEX Corp and Tomen Corp could not conclude an agreement on sharing in this large Iranian project up to June 30 under the USA pressure, the negotiations on Azadegan entered into the new high perspective stage. The official Tokyo supports intension of the Japanese companies to develop the Iranian field regarding that this corresponds to the national interests of the country. The day before the Minister of Trade of Japan Mr. Takeo Khiranuma has declared that significant compromises on the majority of problems have been achieved in the talks on the contract. An earlier utterances of the Minister of Defense of Japan had appeared in the press, which emphasized independence of Japan from the USA pressure in the Iranian problem.

THE CANADIAN TALISMAN ENERGY INC. HAS DISCOVERED A NEW OIL FIELD IN THE CENTRAL PART OF THE NORTHERN SEA

BAKU.27.08.2003.MEDIA-PRESS: It is similar that predictions of analysts about exhausting of oil and gas resources of the Northern Sea appeared some premature. The British branch of the Canadian gas group Talisman Energy Inc. has discovered a new oil field in the central part of the Northern Sea.

For the present the company is not able to estimate discovered hydrocarbon supplies. However, it is expected that a closeness of oil production platform Tartan will allow to reduce significantly expenses for their development and accelerate production of the first petroleum. The new discovery of the petroleum supplies on the unit 15/16a situated in 3.5 km to the north-east from the field Tartan was a result of the extensive program started in the end of 2002. Its budget makes 225 MM British pounds, the Europe Intelligence Wire reports.

We shall remind that very recently the company Statoil also declared about discovery of new oil field on the Norwegian continental shelf. During a drilling process for gas exploration on the field Ellida of the Norwegian Sea shelf, the Statoil unexpectedly has discovered an oil-bearing bed. As over 10 years oil was not found out in Norway after discovery of the oil field Norn in 1991 this find would be able to restore the former reputation of the continental shelf and attract investments in its further development.

In the press-center of Statoil they declare that the second exploration well will be completed on Ellid in three weeks. Up to this moment it will be impossible to tell about availability of the industrial oil supplies. The first well has been drilled by a depth of 1200 m from the drilling ship West Navigator, which belongs to the Company Smedvig. Statoil shares 30% joint stocks in the development of the field, Shell - 20%, BP - 20%, and the State Norwegian Petoro - 20% and ConocoPhillips - 10%.

A REPAIR OF THE THIRD POWER UNIT HAS COMPLETED IN THE ENIKEND HEPS

BAKU.27.08.2003.MEDIA-PRESS: Within frameworks of the preparation of the electric power field of Azerbaijan for the winter at the Enikend HEPS a repair of the third electric power unit has completed.

As Media-Press has been informed in the JC "Azerenergy", the repair-prophylactic works advancing the work schedule were carried out by own means. Earlier the analogous measures were carried out in the first and second energetic units of the station. As it was mentioned in the JC, the repair of the second unit will not be carried out as it was put into operation relatively recently. Four energetic units operate in the Enikend HEPS with a capacity of 37.5 MVt of each. The average electric power output makes 400 MM kVt/hour. The construction of this station was carried out in account of credit of the European Reconstruction and Development Bank in a total of $53.24 MM.

FOR SEVEN MONTHS OF 2003 A VOLUME OF THE INDUSTRIAL PRODUCTION IN AZERBAIJAN HAS MADE 13.3 TRLN MANATS ($2.7)

BAKU.27.08.2003.MEDIA-PRESS: For seven months of 2003 a volume of the industrial production has made 13.3 trln manats ($2.7 bn). This is by 5% more than for the analogous period of the past year.

The production at enterprises of fuel-energetic sector has grown by 1.2% including oil production ones by 1.6%,oil and chemical - by 10%, electric power - 13%. In the metallurgic engineering the growth has made 69%, machinery and metal processing - 15.4%, the construction materials production - 27.6%, the food industry - 3.9%, in the forest, wood processing and pulp-and-paping industries - 67.5%. 50.2% of a total production volume made a part of the producing industry, 41% - processing industry and 8.8% - electric, gas and water supplying.

AZERBAIJAN WILL MOUNT LORRIES "RENAULT"

BAKU.27.08.2003.MEDIA-PRESS: Azerbaijan will consider a possibility of allowing the state guarantees for credit of the French company Renault in $8.5 MM for organization of mounting production of lorries in Gyanja in condition that the French side will take a sale of ready production for itself, the "Interfax-Azerbaijan" Agency has been informed in the Ministry of the Economic Development of the Republic.

Earlier the authorities of the country refused of allowing the state guarantees for credit making a reference on the commercial character of the project. At the present time the Ministry of the Economic Development, which manages the realization of this project has offered to Renault to study the market of Azerbaijan with a purpose of determination of realization cost of machines. The total cost of expenditures on organization of mounting production makes $10 MM, $8.5 of which should be invested by Renault, and $1,5 by Azerbaijan. It is planned to develop gathering of lorries Renault with cargo-carrying capacity in 1.5 - 5 tons and 6 - 13 tons on the base of Gyanja car plant. At the present time a feasibility report of the project has been made. During five years it is supposed to produce about 5 thou examples.

AZERBAIJAN HAS STARTED TO EXPORT THE POULTRY FARMING PRODUCTION

BAKU.27.08.2003. MEDIA-PRESS: The poultry farming fabrics of Azerbaijan has developed the export of their production. By today more 5 MM eggs were delivered to the countries of the CIS and the poultry meat is delivered to Georgia. The Minister of the Agriculture Mr. Irshad Aliyev has informed about this.

By his words, the law providing prolongation of privileges for farmers and other agricultural producers. Now studies in this trend are carried out. We shall note that in 2001 the parliament of Azerbaijan has approved the law "About Allowing the Taxation Privilleges in the Sphere of the Agricultural Production". This document provides discharging agricultural producers from all kinds of taxes excepting taxes for ground, during three years since 2001. In this year the force of this law expires. Just due to it the local agricultural production could to compete on prices by equal rights with the foreign one and it in its turn had given a push for growing the capacities in the agricultural sector and export of the production.

THE IMF WILL ARRIVE TO AZERBAIJAN ON AUGUST 27 FOR DISCUSSION OF THE PROJECT ON THE STATE BUDGET-2004

BAKU.27.04.2003.MEDIA-PRESS: The mission of the International Currency Fund will arrive today in Azerbaijan for discussion of the project of state budget for 2004. As the Ministry of Taxes of the country Mr. Fazil Mamedov informs, by the present time a preparation of preliminary state budget version will be completed and it will be available for consideration of the IMF experts.

The Minister has not told more precisely about main parameters of the state budget project, however he informed that assignments transferred to the budget of the country by the Ministry of Taxes should grow by 13 - 14% in comparison with predictions for the current year Earlier the Minister of Finances of Azerbaijan Mr. Avaz Alekperov declared that in 2004 incomes and expenses of the state budget will grow by 10% in comparison with 2003.

CREDITS BY A TOTAL OF 2.924 TRLN MANATS ($594.3 MM) HAVE BEEN INVESTED TO THE AZERBAIJAN ECONOMY

BAKU.27.08.2003.MEDIA-PRESS: By information of the National Bank of Azerbaijan (NBA) for seven months of the current year 2.924 trln manats ($594.3) of credits were invested in the economy of Azerbaijan, and this is by 12.4% higher than rates by January 1 of the current year.

As Media-Press has been informed in the press-service of the NBA, 74.8% of credits (2.186 trln manats or $444.3 MM) are short-term and 25.2% (738.1bn manats or $150 MM) are long-term. From a total of credit investments 1.272 trln manats ($258.5 MM); 1.312 trln manats ($266.6 MM) made a part of private banks and 339.1bn manats ($68.9 MM) - are credits of out-of-bank organizations. From a tota credit volume 676 bn manats (23.1%) have been invested in the state sector and 2.248 trln manats (76.9%) - to the private sector.

A volume of credits to different spheres of the economy made 2.378 trln manats. At this 21% of credits or 499.6 bn manats were invested to the trade and services sphere. 280.7 bn manats (11.8%) were invested in transport and communications development, 172.6 bn manats (7.3%) - to the state management, 150.6 bn manats or 6.3% - for energy and a development of natural resources, 5.2% ore 124.6 bn manats - for agriculture. 198.6 bn manats (8.4%) - for heavy and light industry; 176.2 bn manats (7.4%) of credits were invested in construction. 65.7% of all credits were allocated in foreign currency.

AN AUTHORIZED CAPITAL OF THE AZERBAIJAN BANKS MADE 692.5 BN MANATS ($40.7 MM)

BAKU.27.08.2003.MEDIA-PRESS: By August 1 of 2003 the authorized capital (AC) of the Azerbaijan banks made 692.5 bn manats ($140.7 MM) what is by 10.1% more than by January 1. As it has been informed in the National Bank of Azerbaijan, 72 bn manats ($14.63) of total authorized capital make a part of the state banks, and 620.5 bn manats ($126.11 MM) - private banks.

The authorized capital formed by foreign sharing makes 252.8 bn manats or 36.5% of all banks of Azerbaijan. In average 15.1bn manats make a part of each bank. By August 1, 2003 94 credit organizations had licenses for carrying out bank operations, and 48 of them are out-of-bank credit organizations. 41 credit organizations had a license for attraction of public funds, 43 ones - for operations with the foreign currency and 1 - with precious metals, 26 orgaizations have licenses for operations with credit cards. By informations by August 1, 2003, 46 banks operated in Azerbaijan. 16 of them are banks with foreign sharing and in 5 of them it makes from 50 up to 100% and in 9 - less than 50%.

A TURN-OVER MONETARY MASS VOLUME IN AZERBAIJAN MADE 2.331 TRLN MANATS

BAKU.26.08.2003.MEDIA-PRESS: By August 1 of the current year a volume of the turn-over monetary mass in Azerbaijan has made 2.331 trln. Manats and this is by 15.1% more than by January 1. As Media-Press has been informed in the Press-Service of the National Bank, a growth in comparison with the analogous rate of 2002 year made 25.8%.

A total monetary mass includes 1.814 trln manats of cash, 517.4 bn manats of incash means. In comparison with the analogous rates of the past year a monetary mass volume has grown by 16.7%, incash - by 72.5%.

A NUMBER OF PRISONERS IN AZERBAIJAN IS ONE OF THE LEAST IN EUROPE

BAKU.27.08.2003.MEDIA-PRESS: There are 200 prisoners per each 100 thou people at the present time in Azerbaijan, and it is one of the least rates in Europe. Mrs Suleymnova, the Asignee on Human Rights has informed "Interfax-Azerbaijan" about this.

"For information, there are 700 prisoners per 100 thou inhabitants in the USA, the similar situation is in Russian and some other countries. And a number of forgiven and amnestied persons grows by large rates in Azerbaijan. Only the last amnesty announced on May has been related to 14 thou persons", - the Asignee on Human Rights has noted.

By the words of Mr. Suleymanova, soon an issue of the new Edict of the President on the Amnesty is expexted. "As a whole, for the last time striking changes have occurred in Azerbaijan, living conditions of prisoners had changed sharply in the positive direction", - she has said. Mrs. E. Suleymanova has noted that she actively uses her right of visits to prisoners and temporarily arrested with purposes of familiarizing with their keeping conditions. "In this time a prisoner has right to appeal directly to the assignee with any request in written or oral ways. For the last time more 10 persons were forgiven by recommendations of the Asignee", - Mrs E. Suleymanova has noted. The Assignee on Human Rights has informe that since the end of October 2002 the Assignee Apparatus has received more 2700 applications, compliances on breaks of civil and social rights, numerous breaks of rights of refugees and forced migrants make the major part of them.

"In distinction of laws of many countries, for example the Great Britain, where a citizen may appeal to the Asignee, only lobbying members of the Parliament, our law is very democratic. We receive and hear everyone", - Mr. Suleymanova has noted. The Assignee explains a large number of appeals of the civilians of Azerbaijan to the European Court on Human Rights as well as to the Assignee by not only a sign of bad situation on human rights in the country or imperfect of local juridical system, but a bad knowledge of citizens about their rights. Just so she is sure that a majority of this compliances will be declined as not corresponding to the European Court competence. "In particular, by the same reason more than a half of compliances delivered to the Assignee administration are declined", - Mr. E. Suleymanova has said. She has said that more 20% of considered compliances were decided positively.

Mrs. Suleymanova has noted that the Human Rights Assignee institution operating since the past year have a lot of problems and first of all connected with the same absence of citizens' knowledge about their rights and their protection ways. "With this our activity already now causes positive estimates from the Supreme Commissar of the European Council on the Human Rights Mr. Alvaro Khil-Robles, experts from the USA, Russia, many other countries", - Mr. E. Suleymanova has noted.