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Foreign Oil Company demands from Azerbaijani government to solve the problems on illegal buildings in mines

08 April 2011 13:41 (UTC +04:00)

Baku. Ali Ahmedov â€“ APA-Economics. Several illegal buildings have started to impede the foreign companies in oil mines. These problems impeded the Binagadi Oil Consortium to implement the contract liabilities.

Lawyer of company Rovshan Karimov says itâ€™s impossible to work in contract area: â€œIf you canâ€™t drill a well there, how can you increase the production? People live in the houses and itâ€™s impossible to destroy them. Youâ€™re obliged to sue them. As a result, the work is delayed for years. The worst of it is that, these houses have been built in most advantageous places from viewpoint of oil extraction. Most of illegal buildings are in the places with most of oil. As a result, the company could not raise the oil production to the expected levelâ€.

Other lawyer of Company Anar Gurbanov informed that, if there would not be illegal buildings, the production might be more: â€œSometimes we canâ€™t approach to well and conduct repair worksâ€.

Binagadi Oil Company has applied to SOCAR and Azerbaijani government. According to Gurbanov, the liabilities in contract, including providence of creation of necessary situation for works in the contract area have been reminded to Azerbaijani government. Besides, it was informed that the illegal buildings impede the works there and solution of this problem was asked.

Besides, the illegal buildings have increased the expenditures of consortium.

The government has given additional 3 years time to the company to fulfil the liability (until July 2011). Though there are several months for end of this term, we could not raise the production to the expected limit: â€œIf we canâ€™t implement this liability, weâ€™ll have to ask again the government to prolong the timeâ€.

They also noted that, SOCAR tries to solve this problem.