Industry and Energy

Home page

Industry and Energy

SOCAR, Gazprom sign gas agreement in Baku

14 October 2009 16:42 (UTC +04:00)

Alexei Miller said the signed document would play an important role in strengthening energy cooperation between Azerbaijan and Russia and give impetus to the sales and purchase relations between the companies.

Rovnag Abdullayev added that that agreement allows Azerbaijan to send its gas to a new market.

Under the agreement, Gazprom will be able to buy 500 million cubic meters of gas from Azerbaijan a year from January 1, 2010, with supplies expected to increase in the future.

â€œThis will expand SOCARâ€™s gas programme. The agreement did not specify the amount in excess of 500 million cubic meters. Under the agreement, Gazprom will be notified in advance of an increase in gas output, and we will be able to sell additional gas to Russia,â€ Rovnag Abdullayev added.

He didnâ€™t say what price Azerbaijan will charge Russia for gas.

â€œThe price will be set based on a formula. This is a good price, and we will accept,â€ he noted.