ANGOLA AND AZERBAIJAN ARE THE KEY TRENDS FOR THE NORWAY COMPANY STATOIL
BAKU.05.03.2004.MEDIA-PRESS: "Angola and Azerbaijan are the key trend for us. We intend to product 100 thou bbl daily in this countries". The member of the Directorate and the Chief of the foreign operations of the Norway oil and gas concern Statoil Mr. William Maloni has said.
BAKU.05.03.2004.MEDIA-PRESS: Kazakhstan will increase the gas production by 2010 in 5 times - up to 60 bn cubic meters annually. The project of the program on development of the Kazakhstan gas field puts such goals. The officials of the Government of the country note that Kazakhstan will joint to the number of countries having the largest revealed natural gas supplies and become one of three main producers ans exporters of gas on the territory of the CIS. By the information of the Ministry of Energy and Mineral Resources of Kazakhstan, explored and estimation supplies of gas concentrated on 94 fields make above 3 trln cubic meters.
BAKU.05.03.2004.MEDIA-PRESS: The Minister of Oil of Iran Mr. Bijan Zangane has declared in the interview to the agency ILNA that he does not anything about signing of two contracts by a total of $4 bn on the liquidated natural gas (LNG).
BAKU.05.03.2004.MEDIA-PRESS: The means of the Norway Oil Fund increased by 236 bn Norway crones ($33.7 bn) for the past year. This is the largest income since a time of the Fund foundation dated from 1997.
BAKU.05.03.2004.MEDIA-PRESS: In the strait Dardanelle the Ukraine ship "Delphin-1" transporting explosive materials has run aground. For high waves boats of the Turkish shore guard are not able to approach to the disaster area.
BAKU.05.03.2004.MEDIA-PRESS: The second day of the official visit of the President of Georgia to Azerbaijan has started with the Sangachal oil terminal - one of the strategic objects of the building exporting oil pipeline Baku - Tbilisi - Ceyhan.
BAKU.05.03.2004.MEDIA-PRESS: Georgia is able to provide the effective guard of the oil pipeline Baku - Tbilisi - Ceyhan (BTC) on its territory. The President of Georgia Mr. Michail Saakashvili, who is in Baku with the official visit has declared this on the press conference.
BAKU.05.03.2004.MEDIA-PRESS: "I am sure that the government of Turkey and company BOTAS will take all necessary measures for timely completion of the construction of the Turkish part of the MEP BTC", -the Executive Director of BTC Co. Mr. M. Townsend has declared.
BAKU.05.03.2004.MEDIA-PRESS: The Deputy of the State Secretary of the USA Mrs. Elizabeth Jones has expressed the hope that the Presidents of Armenia and Azerbaijan "would be able to remove the cul-de-sac situation in the negotiation situation in a way of politically complex compromises necessary for adjustment of the Nagorni-Karabakh conflict". The Agency Mediamax informs, Mrs. E. Jones has declared this in her speech in the Committee of the Congress of the International Relations.
BAKU.05.03.2004.MEDIA-PRESS: For two months of the present year the State Oil Company of Azerbaijan and the JC founded with its sharing produced 1.4669 MM tons of oil and this is by 2.3% or 32.8 thou tons more than it has been planned. As Media-Press has informed in the SOCAR, the oil production grew by 0.5% in comparison with the analogous period of the past year.
BAKU.05.03.2004.MEDIA-PRESS: On January - February of this year the production of the natural gas in Azerbaijan made 830.2 MM cubic meters and this is by 4.8% more than it has been planned.
BAKU.05.03.2004.MEDIA-PRESS: In the current year investments of the Azerbaijan-German joint company Azgerneft to the development of the onshore field "Ramani" will make about 3 bn manats (about $608 thou), that is the same total as in the past year. The income of the JC made 12 bn manats ($2.431 MM) by the results of the past year, the General Director of the JC Mr. Chingiz Isayev has said.
BAKU.05.03.2004.MEDIA-PRESS: The Azerbaijan-German JC Azgerneft developing the out-of-date onshore field "Ramani" in Baku hopes to conclude the new contract on this field, however by the type PSA (the Production Sharing Agreement). As the General Director of Azgerneft Mr. Chingiz Isayev has explained, this issue is in the stage of the negotiations and in a case of the positive decision, the JC would be able to receive more profits than now.
"Our goal, Mr. U. Maloni has said, is activating of the operation just abroad. At the present time Statoil takes part in oil and gas exploration or their production in 12 countries. The nearest goal is the enlarging of this list up to 15 countries".
As the Norway Company "Aftenposten" reminds, Statoil shares in the laying of the pipeline Baku - Tbilisi - Ceyhan and is also co-owner of a number of oil and gas fields. The concern invests approximately 4 bn crones (about $600 MM). "Azerbaijan is one of the most significant trends of Statoil", - the newspaper emphasizes.
KAZAKHSTAN WILL INREASE THE OIL PRODUCTION BY 2010 IN 5 TIMES - UP TO 60 BN CUBIC METERS ANNUALLY
The Kazakhstan experts consider that the growth in production and realization of the market gas as well as increase of the international transit of the natural gas will allow accelerating taking measures on modernization of gas pipeline system and enlarging of its capacity. At the more providing the demands of the population for the natural gas.
THE MINISTER OF OIL OF IRAN HAS DISPROVED THE INFORMATION ON SIGNING OF LARGE CONTRACTS ON THE LNG PRODUCTION
By his words, at the present time the negotiations with the British Royal Dutch/Shell, the Spanish Rispul and British Gas Corporation BG are conducted, however up to signing of the agreement subsidiary information will not be published on this issue.
The disproof made by the Iranian Minister does not mean at all the refusal of the further plans of the intensive growing of the production of the LNG in the country. We shall remind that in the end of February the Iranian National Company (NIOC) signed the agreement by a cost of $2 bn with the French Total SA and Malaysian Petronas on foundation of the joint enterprise Pars LNG, which will produce 8 MM tons of the LNG annually during next 25 years.
As the State Radio of Iran has informed, the French partners share 30% of the gas project, and Petronas shares 20%. The joint project will be carried out within frameworks of 11 stage of the development of the field Yuzni Pars.
Moreover, in accordance with the same program, Iran builds ships capable to carry the LNG and relevant terminals.
DOES NORWAY DEVELOP IN ACCOUNT OF OIL INDUSTRY?
The new means from the oil production industry make approximately a half of income. Dividends on debentures and sales markets make the rest part.
In the end of 2003 the estimation cost of the Norwegian Fund of oil incomes made 845 bn Norway crones ($120.7 bn). The Oil Fund now is the largest pension fund in Europe.
The value of the stocks bag making about 40% from the oil Fund has increased by 22.8%. Since 1997 up to 2003 the mid annual income after expenditures on fund managing made 3.7%, although even the value of the bag increased by 24.4%.
"THE SHIPS OF DEATH" REVEAL THEMSELVES IN THE TURKISH STRAITS
Recently Turkey demanded paying attention to danger for environment and Istanbul dwellers, which origins from ships traveling through the Bosporus and Dardanelle that all ships passing through the straits would be insured for a case of possible emergency.
The incident in the Dardanelle has emerged for breaking of the ship engine. After its stop a strong stream and waves began to run the ship by deadweight of 193 tons and a length of 33 m to the shore and it ran aground. The captain of "Delphin-1" informed the shore guard of Turkey that the ship had been transporting explosives and asked an aid. However, for high waves boats of the Turkish onshore service are not able to approach to the Ukrainian ship "Delphin-1" which traveled to the port of the Lebanon capital Beirut shipped by explosive cargos.
Meanwhile the Turkish authorities demand that all the ships travelling through Bosporus and Dardanelles should be insured for making up damage from a possible emergency. At the last time the Turkish straits have become one of the most and loaded seaways in the world, the Turkish newspaper "Zaman" informs. Only from the Russian port Novorossiysk 1.7 MM bbl of crude oil are transported daily. During forthcoming 10 years, experts note, the volumes of crude oil, taking into account the Kazakhstan and Azerbaijan crude, will increase in three times and make 4.5 MM bbl daily.
The newspaper "Khurriet" notes that small accidents and breaks of ships occur regularly in the straits. A distance from large deadweight tankers and other ships carrying dangerous cargos called "ships of death" by Istanbul citizens up to dwelling houses on the shores of the strait makes 100 - 200 meters in some places. And a distance up to the center of the largest city of Turkey (the population number of Istanbul makes about 12 MM persons), where many most valuable monuments of history and culture are concentrated makes only about 400 meters. And it is not difficult to imagine after-effects of any accident of a ship carrying dangerous cargo. They may be comparable only with after-effects of the largest earthquake, the periodical reports.
As ITAR-TASS reports, at the present time only a small amount of ships conscientiously get 5 day insurance policies, the officials of the Sea Transport Office of Turkey affirm. The formed situation, they emphasize, is of a great danger for environment and dwellers of the largest city of Turkey.
The Direction of the Sea Transport Office of Turkey plans to adjust direct communication lines with insurance companies accredited for these goals in order that the administration of the sea port of Istanbul would be able to check operatively a truth of insurance policies of ships traveling through the Turkish straits.
THE PRESIDENT MR. ILHAM ALIYEV: "ONLY BY JOINT EFFORTS AZERBAIJAN AND GEORGIA ARE ABLE TO GET ESTABLISHED GOALS"
And a day before Mr. M. Saakashvili, the President of Georgia conducted the negotiations with the President of Azerbaijan Mr. Ilham Aliyev and other leaders of the country. The Presidents of two countries have signed the Joint Declaration, which determines priorities of the development of bilateral relations including political, economic and cultural fields.
Enlarging of trade economical relations, interaction in the realization of the large-scale energy projects, ensuring of the regional safety are amongst the main trends of deepening of the cooperation.
As well the agreements on cooperation in the field of education and information were signed.
The Presidents Mr. Ilham Aliyeva and M. Saakashvili declared on the final press conference that they consider the development of the strategic partnership one of the main trends of their external policy.
The President of Georgia has spoken out on behalf of foundation of common Azerbaijan-Georgian economic space. "Georgia and Azerbaijan will closely integrate into each other", - Mr. Michail Saakahsvili has said. By his words, two countries will really "create common tariff system, synchronize the tax policy and remove tax barrier with them to remove all barriers for the realization of joint projects it in the next years". The President of Georgia as expressed a hope that in some time "the common Azerbaijan-Georgian market" will become "the common South-Caucasus economic space". This is important for that our region would become a real part of Europe", - Mr. M. Saakashvili.
The President of Azerbaijan Mr. Ilham Aliyev has expressed his support for harmonization of the trade-economical relations with Georgia. He has emphasized that the economic relations of both countries should overcome the frameworks of the cooperation in realization of joint energy projects - the pipeline Baku - Tbilisi - Ceyhan and gas pipeline Baku - Tbilisi - Erzurum.
By his opinion, there is a great potential for growing of mutual trade-economic cooperation. "Georgia and Azerbaijan should actively integrate with each other", - Mr. Ilham Aliyev has noted. He has emphasized especially that Azerbaijan and Georgia cannot remain outside when frontiers are being removed in Europe.
The Azerbaijan leader has noted that both the states stand on solid positions in the region. "Any regional project is impossible without our sharing", - Mr. Ilham Aliyev has said. He has emphasized a high level of the Azerbaijan-Georgian relations and called them "the strategic partnership".
Finalizing the negotiations with Mr. M. Saakashvili in Baku, Mr. Ilham Aliyev has confirmed full opinion agreeing on issues of bilateral, regional and international character. "Only by joint efforts Azerbaijan and Georgia would be able to obtain established goals - improvement of well-being of their peoples, ensure peace and safety in the region", - the President of Azerbaijan has said.
MR. M. SAAKAHSVILI: GEORGIA IS ABLE TO ENSURE THE SAFETY OF THE OIL PIPELINE BAKU - TBILISI - CEYHAN ON ITS TERRITORY
He has emphasized that special detachments ensure the pipeline safety and they are subordinated directly to the President of Georgia. Mr. Saakahsvili has noted as well that his country co-operates with the special services of the western countries in this issue including the USA.
Mr. Saakahsvili has declared that he has the information about intension of "some political forces", which intend to block the construction of BTC under ecological slogans for postpone the putting into operation of the oil pipeline for several years. He has called these actions ordered. "I shall not allow this things", - he has said. He has not excluded that the project BTC may need in some corrections. "However it should not prevent to its realization in time", - Mr. M. Saakashvili has said.
He has emphasized that the Georgian authorities have good relations with the Armenian population of Javakhatia in the south of Georgia, where the part of the pipeline should lay through and noted that there will not be any problems with safety of the line here. "The changing of the status of any part of the Georgian territory is not demand of the people of the country and it origins from the foreign centers", - Mr. Saakashvili has said answering on the question, whether "demands of the Armenian population of the autonomy for Javakhetia affect on the construction of oil pipeline".
"The Georgian authorities centralize the power in the country but strengthens it regions as well. We are not the same Georgia, which was a year or a half of a year ago", - Mr. M. Saakahsvili has said that the new power has been organized in his country and any blackmail will receive a relevant response.
The putting into operation of Baku - Tbilisi - Ceyhan provided for pumping of 50 MM tons annually is planned by the beginning of 2005.
THE EXECUTIVE DIRECTOR BTC CO. IS SURE THAT TURKEY WILL COMPLETE THE CONSTRUCTION OF ITS PART OF THE PIPELINE BTC IN TIME
Just recently Mr. M. Townsend returned from Turkey, where he has conducted meetings with the authorities of BOTAS and in the government of the country. By his words, for large snow the construction works on southeast of Turkey where one of pieces of BTC lays as well as not far the Georgian frontier were stopped. As soon as the snow smells in these areas, the operation is restored with the attraction of additional resources and technique.
The analogous situation has been formed around the construction of four pump stations on the Turkish area of the pipeline. Here also for the great snow volumes the works has been stopped. In connection with this a decision on block mounting of stations outside of construction areas has been taken. After normalization of weather ready station blocks will be mounted directly on the construction areas.
By the words of the Executive Director of BTC Co. all works on the terminal in Ceyhan go in accordance with a schedule. For instant reservoirs for storing of 1 MM bbls of oil are constructed there. The works on the piece of the BTC bordering to the terminal are conducted also in accordance with a schedule.
THE USA HOPE THAT LEADERS OF AZERBAIJAN AND ARMENIA WILL GO TO COMPROMISES TO REMOVE THE CUL-DE-SAC SITUATION AROUND THE NEGOTIATIONS ON THE NAGORNI KARABAKH CONFLICT
"We try to get the reduction of the intensity in relations of Armenia and Azerbaijan and this will open new opportunity for the regional cooperation and trade", - the Secretary Assistant has said and noted that adjustment of Nagorni Karabakh problem is a key for this.
As it is known, on February 5 Mrs. Elizabeth Jones has declared that the sides of the conflict has received "some suggestions" and refused to open their content at the same time. By her words, Mr. Collin Powell, the State Secretary of the USA discussed "new efforts of co-chairmen of the Minsk Group of the OSCE during negotiations with the Russian colleagues and strengthening of the negotiation process is the goal of them".
FOR JANUARY - FEBRUARY AZERBAIJAN PRODUCED ABOUT 1.5 MM TONS OF OIL
The share of the divisions of the SOCAR made 1.316 MM tons (a growth makes 0.4%), the JC produced 150.7 thou tons (a growth made 22.8%).
On February the State Oil Company of Azerbaijan produced 708.1 thou tons of oil and this is more than it has been planned by 14.9 thou tons or 1.9%. The oil and gas production companies produced 635.8 thou tons and the joint companies - 72.3 thou tons.
In accordance with the forecasts, in 2004 the oil production in Azerbaijan will make 15.45 MM tons and 8.75 MM tons makes a share of the SOCAR and the Azerbaijan International Operation Company (AIOC) will produce 9.2 MM tons of oil. 9.2 MM tons of oil will be exported. 6.7 MM tons will be pumped by the pipeline Baku - Supsa and 2.5 MM tons by the route Baku - Novorossiisk.
FOR TWO MONTHS OF 2004 830.2 MM OF CUBIC METERS OF THE NATURAL GAS WERE PRODUCED
As Media-Press informed the State Oil Company of Azerbajan, the companies of the SOCAR produced 639.8 MM cubic meters of gas, and the Azerbaijan International Operation Company (AIOC) produced 166.6 MM cubic meters. The joint enterprises produced 23.8 MM cubic meters of gas.
On February the gas production made 396.6 MM cubic meters. The share of the SOCAR made 318.8 MM cubic meters and the AIOC - 77.8 MM cubic meters. The joint enterprises produced totally 11.4 MM cubic meters.
Azerbaijan needs in up to 10 bn cubic meters of gas annually. In the past year Azerbaijan purchased 4 bn cubic meters of "blue fuel" from the international group of companies "Itera". This year "Gazprom" replaced "Itera" and plans to deliver 2.75 bn cubic meters of the natural gas to Azerbaijan. Recently else one agreement between the SOCAR and the CJC "KazRosGaz" has been signed on deliveries by 4.5 bn cubic meters of gas.
The CJC "KazRosGaz" started the gas deliveries since January of the current year. For January - February Azerbaijan has imported already almost 1 bn cubic meters of gas from Kazakhstan. The SOCAR purchases the Kazakhstan gas for $52 per 1 thou cubic meter. The annual import gas demand of the Azerbaijan market makes about 6 bn cubic meters.
The republic will receive the subsidiary volumes of gas also since within the frameworks of the project of extension of the Sangachal oil terminal the gas drying installation will be installed. Today all oil delivered to the terminal is separated from water and gas. Received gas is liquated. The construction of new installation would not allow liquating gas, but delivering it to the State Oil Company of Azerbaijan, which in its turn will deliver it to consumers. Gas will be burned in flames only in emergencies. For realization of this idea the SOCAR also plans to build special gas receiving installation and the pipeline up to the Sangachal gas distribution point.
THE INVESTMENTS OF THE AZERBAIJAN-GERMAN JC "AZGERNEFT" TO THE DEVELOPMENT OF THE FIELD "RAMANI" IN 2004 WILL EXCEED $600 THOU
By his words, the plan measures for 2004 provide the drilling of three operation wells in comparison with single one in 2003. As well it is supposed to make capital repairs of 16 wells. The growth of oil production in comparison with the past year will make 8%. Now 300 wells are available on the field and 201 are in the operation: 162 tons of oil are produced her daily.
This year the JC plans to open 60 new job places - in account of drilling of new wells and increasing of number of brigades on the underground repairs of the wells.
The SOCAR and German Company Grunewald & Co. GmbH have founded the JC Azgerneft. It has been organized on a base of 7 field of the oil and gas production Office "Balakhanineft" and started it operation on February 1, 1995. The aim of the foundation of the JC is the rehabilitation of the out-of-date field 'Ramani". The contract has been concluded for a period of 25 years.
THE ISSUE ON RESIGNING OF THE CONTRACT OF THE DEVELOPMENT OF THE FIELD "RAMANI" BY THE TYPE OF PSA - IS ON THE STAGE OF THE NEGOTIATIONS
Mr. Ch. Isayev did not determine the concrete terms of the transfer to the PSA, however he expressed the sureness that sooner or later this occurs. Moreover, the Director of the JC has not exclude that in a case of the revision of the contract and new partner may appear and he will invest to the development of this field. Up to day the German partner Grunewald & Co. GmbH shares 60% of the JC and the SOCAR - 40%.
In 2002 the American Company Puma Energy planned to purchase 50% - 60% of its share from Grunwald & Co. GmbH in this project. Despite of that an agreement of intensions of Puma Energy to purchase no less than 45% in the project had been signed, the sides did not agree in the end.
The SOCAR and the German Company Grunewald & Co. GmbH. founded the enterprise Azgerneft. It was organized on a base of the 7th field of the oil and gas production office "Balakhanineft" and started its operation on February 1, 1995. The rehabilitation of the old field "Ramani" is the goal of the foundation of the JC. The contract with the SOCAR has been signed for 25 years.
