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Karasu Operating Company gets 20% rise in oil output

03 October 2008 09:19 (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 210 300 tons of oil during January-August, a 19.9% rise on a year earlier. Oil production was 26 100 tons in August alone, said the company. 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.