Industry and Energy

Home page

Industry and Energy

Karasu Operating Company gets 19% rise in oil output

15 August 2008 13:39 (UTC +04:00)

Baku. Vuqar Mustafayev â€“ APA-Economics. Karasu Operating Company, dealing with exploration and development of the Mishovdagh and Kelameddin oil fields onshore Azerbaijan, produced 157 500 tons of oil during January-June, up 18.8% from a year earlier. Oil production was 27 300 tons in June alone. The production-sharing agreement (PSA) for the Mishovdagh and Kelameddin fields was signed by the State Oil Company of the Azerbaijani Republic (SOCAR) and Nations Energy Corp.
SOCAR has a 15%-stake in the project and Karasu Operating Company holds 85% in the PSA, signed on September 12, 2000.
This is initially a 25-year PSA with the possibility of a five-year extension. The fields, located 120km south of Baku, first opened in 1960-1970. A total of 790 wells including 200 oil wells have been drilled at Mishovdagh, and 190 wells in Kelameddin. The Project provisions $500m in investment.