Bank Of Baku

Azerbaijan discusses state takeover of AIOC assets

Azerbaijan discusses state takeover of AIOC assets
# 19 September 2008 14:24 (UTC +04:00)
Baku. Nijat Mustafayev – APA-Economics. The repatriation of foreign companies’ investments has been complete and the so-called zero balance process in Azeri-Chirag-Guneshli Project in the Azerbaijan sector of the Caspian Sea has kicked off, said Shahmar Movsumov, Executive Director of the State Oil Fund of Azerbaijan (SOFAZ).
He added that there is discussion on the transfer of the AIOC-owned assets to the Government of Azerbaijan and a workgroup has been set up for this process.
At present the Government of Azerbaijan takes 80% of revenues from Azeri-Chirag-Guneshli oil export, leaving 20% for foreign companies.
Azerbaijan International Operating Company (AIOC), a BP-led consortium of foreign petroleum companies, signed a production sharing agreement with the Government of Azerbaijan for Azeri-Chirag-Guneshli offshore fields.
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