Industry and Energy

Industry and Energy

Shah Deniz capital expenditure hits $255 million

20 November 2009 07:57 (UTC +04:00)

Baku. Nijat Mustafayev â€“ APA-Economics. The Shah Deniz project, a gas and condensate development in the Azerbaijan sector of the Caspian Sea, spent $114 million in operating expenditure and $255 million in capital expenditure during January-September of 2009, said BP-Azerbaijan, operator of the project.

The project is planned to spend $322 million in operating expenditure and $369 million in capital expenditure for the full year of 2009.

The project spent $152 million in operating expenditure and $471 million in capital expenditure in 2008, said the company.

When it comes to output, the company said it produced 4.4 billion cubic meters of gas and 1.2 million tons of condensate during this period.

â€œOur target for 2009 is 7.5 billion cubic meters and 1.9 million tons of condensate,â€ said the company.

Shah Deniz Phase 2 output is expected to reach 30 billion cubic meters of gas a year.

Shah Deniz participating interests are: BP (operator â€“ 25.5%), StatoilHydro (25.5%), SOCAR (10%), LUKOIL (10%), NICO (10%), Total (10%), and TPAO (9%).