2024-03-11 19:44:17
JSC KazMunayGas (KMG, the national oil and gas company of Kazakhstan) and SOCAR (State Oil Company of Azerbaijan) will sign an agreement to increase the transportation of Kazakh oil through Azerbaijan.
As Day.Az reports, Chairman of the Board of KazMunayGas JSC Magzum Mirzagaliyev said this in an exclusive interview with Trend during his visit to Baku.
“It should be noted that we work very closely with the SOCAR company. The Azerbaijani company SOCAR is our long-time strategic partner. And it is gratifying to note that since March last year we began transiting Kazakh oil through the territory of Azerbaijan. We transport about 120 thousand tons per month. Now, as part of the state visit of our President Kassym-Jomart Tokayev to Azerbaijan, which will take place on Monday, March 11, we plan with my colleague Mr. Rovshan Najafov to sign an agreement to increase the transit of Kazakh oil through Azerbaijan by one and a half times. If we are currently transporting through Azerbaijan 120 thousand tons per month, then with the signing of the agreement the volume will be increased by another 60 thousand tons – up to 180 thousand tons,” said Magzum Mirzagaliyev.
The head of KMG also touched upon the possible transportation of Kazakh oil via the Baku-Supsa oil pipeline.
“At a meeting with Mr. Rovshan Najafov, we agreed that within a month the SOCAR company will provide us with proposals on the Baku-Supsa route, including on tariff policy,” he said.
As Magzum Mirzagaliev noted, KazMunayGas wants the relationship with SOCAR not to be limited to transportation issues and to include as much as possible the entire range or palette of cooperation.
“So, we agreed that we are now studying the possible development of projects in the field of oil and production. In addition, we invited SOCAR to look at projects related to geological exploration in Kazakhstan. I informed Mr. Rovshan Najafov that, on behalf of our President, The so-called Improved Model Contract (IMC) for subsoil use was adopted by law in 2023. Thanks to the IMC, the best conditions will be provided for investors who enter into geological exploration, as well as production in complex fields. That is, we continue to discuss and study the potential of joint projects. And in this regard, I would not rule out that in the future we can discuss joint “green” projects,” he said.
At the same time, Magzum Mirzagaliev named the expected time for the full launch of the project to expand production at the Tengiz field in Kazakhstan.
“We expect that the project to expand production at the Tengiz field will be launched in 2025,” he said.
The head of KMG also noted that during his visit to Baku he got acquainted with the work of the BP Sangachal and Azertrans terminals involved in the transit of Kazakh oil.
“I visited the Astana tanker, owned by Kazmortransflot LLP, which delivered a batch of Tengiz oil to Baku for delivery to the Baku-Tblisi-Ceyhan oil pipeline, and met with the crew of the tanker – young Kazakhstanis. The crew members noted that the organization of technological processes is special attention is paid to issues of labor and environmental safety, which helps ensure uninterrupted oil shipments,” said Magzum Mirzagaliyev.
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